The name of the concessionaire who won the selection procedure for the concession of the management of the automated service of the Lotto game and other fixed-odds numerical games has been revealed: it is IGT, who already won the previous license.
The opening of the economic envelope relating to the tender was scheduled for today, 19 May, at 10:30 am, while the technical envelope was opened on 28 April.
The judging committee has completed the analysis of the technical and economic offers submitted for the selection procedure for the concession of the Lotto game until 2034 and will propose to the Agenzia delle Dogane e dei Monopoli to award the concession to Lottoitalia Srl, a subsidiary of IGT and Allwyn, Arianna 2001 and Novomatic Italia.
The award measure by ADM is expected within 35 days of the relevant proposal.
IGT prevailed over Flutter, a leading global operator that in Italy currently owns Sisal and Snaitech, as well as leading brands such as PokerStar, Tombola, and Betfair.
The deadline for submitting bids expired on 17 March, after the interested companies submitted several requests for clarification to the Agenzia delle Dogane e dei Monopoli, promptly provided and published on the agency's website, and also reported by this newspaper.
Three days later, on 20 March, Adm appointed the judging commission.
As is known, the estimated value excluding VAT of the procedure is €4.3 billion, while the starting bid was one billion.
IGT's offer was €2,230 million.
The terms of the concession
According to what is reported in the determination of Adm, relating to the selection procedure, "The concession has as its object the activities and functions for the management of the Lotto game service and other fixed-odds numerical games, for its collection through the concessionaires in the physical collection points, referred to in article 12 of law 2 August 1982, n. 528, and subsequent amendments, as well as in article 33, paragraph 1, of law 23 December 1994, n. 724, and subsequent amendments, and the subjects authorized as remote collection points."
The agreement, pursuant to Article 23, paragraph 4, of Legislative Decree 25 March 2024, n. 41, provides for: a non-renewable duration of 9 years; a fee for the concessionaire of 6 percent of the collection; the right for the concessionaire to use the telecommunication network for direct or indirect services other than the collection of the automated Lotto game and other fixed-odds numerical games, provided that they are compatible with the collection itself in the opinion of the Agency; and the obligation for the concessionaire to annually pay the Treasury any sums not invested, according to the investment plan presented.
Comments from IGT's top management
"The Lotto concession is one of the most important lottery agreements in the world. IGT, also through the various group companies that preceded it, has successfully managed Lotto for over 30 years, through constant innovation and the introduction of cutting-edge technology," declares Marco Sala, executive chairman of IGT's board of directors. "We are very pleased with the award and we are honored and excited to continue collaborating with Adm for another nine years."
Vince Sadusky, IGT's CEO, aggiunge: "The economic offer of €2,230 million, represents an investment that reflects the value attributed to the new concession and IGT is confident that the investment will enhance the growth potential of our revenues and profits. The important program of innovations, with new launches planned for the start of the new concession, will support the growth of the Lotto collection. In addition, we intend to significantly grow the segment of digital lotteries, iLottery, and use this development to expand into the entire segment of digital B2C gaming in Italy: iCasino, sports betting, and other digital games."
The offer of €2,230 million will be paid in three installments, to be disbursed between the award date and April 2026.
In this moment, IGT expects that the first two installments, of €500 million and €300 million, will be paid in 2025, while the balance will be paid in 2026.
The nine-year duration of the concession guarantees the activity until November 2034.
The concession fee is six percent of the collection, plus an additional eight percent for the B2C remote gaming activity (online).
IGT maintains control over the concession activity of LottoItalia, while the partner Allwyn participates, proportionally to its share in the concession company’s stock, in costs and related investments.
ALLWYN'S COMMENT
Speaking of the partner, Allwyn also expresses its satisfaction with the tender outcome.
Allwyn's CEO, Robert Chvatal, states: *"We are excited to continue working with IGT in Italy for the next nine years. We are delighted that Allwyn, with its proven experience in modernization and development of lotteries worldwide, can continue to contribute to the activity of LottoItalia and support IGT's model leadership in the management of this important Italian asset.
We look forward to participating in the further growth of the Lotto game in Italy, while developing innovative solutions to ensure responsible gaming."