VGW founder Laurence Escalante resigns as CEO and chairman

Laurence Escalante resigned as CEO and executive chairman of VGW effective immediately, after six months on leave following criminal charges filed in Western Australia.

Escalante stepped aside in January when Western Australia Police charged him over an alleged domestic incident and executed a search of his property that investigators say uncovered illicit drugs. The charges listed by police include persistent family violence, criminal damage, stealing, aggravated home burglary, unlawful assault and possession of cocaine and MDMA with intent to sell or supply. Escalante has denied the allegations.

VGW described the charges as personal and unrelated to company operations. Mats Johnson, who has been acting CEO, will remain in the role while the company conducts a global search for a permanent chief executive. Escalante cited a desire to focus on private business interests, investments and philanthropic work through his family office. Johnson paid tribute: “Laurence started VGW 16 years ago and grew it from an innovative idea in Perth into one of Australia’s largest unlisted businesses and overseas success stories.” He credited Escalante with developing the social gaming model that later became a major category in the U.S.

Escalante founded VGW in Perth in 2010. In August 2025 he completed a privatization, acquiring the remaining 30% of shares and valuing the company at A$3.2 billion. For the year ended June 30, 2025 VGW reported A$7.3 billion in revenue and net profit of A$656 million. The company said its flagship brand, Chumba Casino, generated A$5.2 billion of that revenue. Other brands include LuckyLand Slots, Global Poker, LuckyLand Casino and United Slots.

Market data from Blask showed Chumba accounted for 19.2% of U.S. sweepstakes demand by Brand’s Accumulated Power in May 2026 and was the top brand in 27 states. LuckyLand Slots held about 5%. Together those two brands represented roughly one-quarter of measured U.S. sweepstakes demand, with Chumba’s share down from 22.4% a year earlier and LuckyLand’s share down from 10.2%.

Regulatory and legal actions affecting the sweepstakes sector have increased this year. Indiana, Maine, Tennessee, Louisiana, Oklahoma and Iowa enacted legislation aimed at the industry. Other states that have taken legislative or regulatory action include California, Connecticut, Idaho, Michigan, Montana, Nevada, New Jersey, New York and Washington. The Kentucky attorney general has filed suit against VGW, alleging the company operates an illegal gambling platform in that state.

VGW said it will continue normal operations while conducting its executive search and that Johnson will remain in the acting role.