IGT and Sisal compete for Italy’s nine-year lotto concession
The tender process is expected to be highly competitive, with projections suggesting the final cost could reach €1.5bn, significantly exceeding the €1bn starting bid.
Key points:
– IGT and Sisal are the two confirmed bidders for the Italian Lotto concession
– The nine-year contract is estimated to generate €4.3bn in revenue (excluding VAT)
– The decision is expected in at least a month, with both technical and economic factors influencing the outcome
– News corroborates our report on 10 March that Flutter will bid with Scientific Games
The deadline for submitting bids for Italy’s Lotto concession expired on 17 March, with IGT and Sisal confirmed as the two competing bidders for the highly sought-after contract.
The tender, which is expected to be worth €4.3bn ($4.7bn) in revenue over nine years, has a starting auction price of €1bn, though analysts suggest the final cost could reach €1.5bn.
IGT, which currently manages the Lotto and has done so since 1993, is bidding alongside Novomatic, the Italian Tobacco Federation (FIT) and Allwyn.
Since taking over operations, the Lotto has grown significantly, with reported collections rising from €2.5bn to €7.6bn by 2022, according to the Monopoly Agency’s Blue Book.
Good to know: Over a six-year period between 2016 and 2022, IGT contributed €9.6bn in tax revenue, averaging €1.3bn per year
IGT recently secured its sixth consecutive responsible gaming certification in Italy, demonstrating compliance with international player protection and gambling safety standards.
Sisal, part of the Flutter Group, is IGT’s sole competitor in this bid. While Sisal has managed SuperEnalotto for 27 years, it has not historically operated the Lotto.
However, the company has expanded its lottery operations internationally, securing licences in Morocco and Turkey.
Following its €2bn acquisition by Flutter in 2022, Sisal has focused on digital transformation.
Earlier this month, Gambling Insider correctly reported that Flutter could enter a joint bid for the Italian lottery licence alongside Scientific Games.
While Flutter did not initially comment, the latest confirmation of Sisal’s participation, backed by Scientific Games, aligns with the expectations outlined in our earlier coverage.
The Italian government will assess the economic offer (60%) and technical and investment proposals (40%) to determine the winning bid. Points will be awarded based on service quality, network reach and investment commitments.
The final decision will not be determined solely by the highest bid – if both financial offers are similar, the technical proposal and operational track record will play a decisive role.
The outcome of the tender is expected within a month, as regulators assess the competing bids before awarding the nine-year concession.
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