London-listed online gaming marketing specialist Veltyco has confirmed that it has terminated talks to acquire Ruleo Alpenland, operator of the BTTY branded sportsbook in Germany and Austria.

Veltyco had entered into an exclusivity period in February regarding the potential acquisition of Ruleo, a sports betting operator that the company provides marketing services to.

Having completed due diligence on the business, Veltyco noted that recent developments regarding the German licensing regime could impact the BTTY brand going forward.

As a result, the company’s board has decided to terminate the negotiations with Ruleo.

Last year Veltyco recorded a 165 per cent increase in revenue to €16.2m through its focus on the marketing and promotion of its partners in sports betting, casinos, poker games, lottery and online financial trading.

The company’s own brands had a positive impact on revenue, including its 51 per cent stake in operator Bet90, which was launched last July. Utilizing its expertise in marketing for the continued expansion of its own brand activities, Veltyco expects Bet90 to be a key driver of further growth in 2018.

It has also ventured into the eSports space by creating a joint venture that includes a 7.5 per cent ownership of German online portal, which the company said provides an exciting opportunity for Veltyco to ultimately provide betting odds on games through Bet90 as the eSports market develops.

Shares in Veltyco Group plc (AIM:VLTY) were trading down 2.83 per cent at 69.96 pence per share in London Wednesday morning.