Swedish casino operator Svenska Spel will permanently close Casino Cosmopol in the historic port city of Sundsvall, a decision that will cost 68 people their jobs. Cosmopol opened in 2001 as Sweden’s first international casino but has always struggled with profitability. “Residents of Sundsvall are proud of their casino,” the operator said in a statement, “but the demand for casino games and other casino offers has not been sufficient.’
The board of AB Svenska Spel made the decision to close on August 13.
Patrik Hofbauer, president and CEO of Svenska Spel, said, “It is a sad message to have to give to our talented employees, but we must adapt to prevailing market conditions. With a constantly declining customer base, the casino in Sundsvall is no longer profitable and then it is unfortunately not commercially defensible to continue to run the business.”
The company’s casinos in Stockholm, Gothenburg and Malmö are not affected by the decision. The focus going forward is to develop Casino Cosmopol’s operations, among other things through an expansion of Casino Cosmopol in Gothenburg.
In addition to the declining customer base, which has only worsened over the years, the casino has also been affected by the sharp transition to online gaming and the strict marketing rules associated with the business. The casino in Sundsvall and its employees have fought hard and taken many initiatives over the years to reverse the trend, without it having a sufficient effect on profitability.
