SkyCity Vows to Defend “Vigorous” Class Action Over NZ$750 Million Offshore Market

SkyCity is defending its Malta-based online operations against a US-backed class action lawsuit.

SkyCity Entertainment Group has formally rejected allegations brought against it in a high-stakes, US-funded class action lawsuit.

The legal challenge targets player losses sustained via SkyCity Online, a platform operated from Malta that serves the New Zealand market. The claim, which names multiple entities including SkyCity Auckland Holdings and Silvereye Entertainment, seeks to challenge the lawfulness of these offshore operations between February 2020 and February 2026.

Jurisdictional Disputes and Third-Party Technology

SkyCity clarified that its online operations are managed through Silvereye Entertainment, an overseas subsidiary operating under a Malta Gaming Authority (MGA) license since 2021. The platform is supplied by Gaming Innovation Group (GiG), a standard industry practice that SkyCity argues keeps its operations within established regulatory frameworks.

The group has vowed to contest the legal challenge vigorously as it proceeds through the courts. The lawsuit raises pivotal questions about whether offshore licenses are valid for targeting New Zealand residents before the country establishes its own onshore framework.

New Zealand’s iGaming Transition

The lawsuit arrives as New Zealand prepares to modernize its 2003 Gambling Act. The government recently announced a three-stage licensing process starting in July 2026, which will ultimately award up to 15 domestic operator licenses.

This move aims to reclaim a market where players currently spend more than NZ$750 million annually on foreign sites. Entain has already indicated interest in pursuing up to three of these licenses as the market prepares to go live in 2027.

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