IGT Consortium Selected for Italy Lotto License Through 2034
IGT Consortium Selected for Italy Lotto License Through 2034
International Game Technology PLC (NYSE: IGT) has recently announced a significant achievement as the Judging Commission has completed its evaluation of bids for the Italy Lotto License. The proposal to award the license has been made to LottoItalia, which is a consortium led by IGT and includes noteworthy partners like Allwyn, Arianna 2001, and Novomatic Italia. This momentous decision is expected to be confirmed by the Agenzia delle Dogane e dei Monopoli (ADM) soon.
Significance of the Italian Lotto License
The Italian Lotto concession stands as one of the premier lottery contracts globally. IGT has been managing this license for over three decades now, consistently showcasing its capability to innovate and integrate advanced technology into its operations. Marco Sala, IGT Executive Chair of the Board, expressed the company’s excitement about continuing its partnership with ADM for another nine years, noting the importance of this award for the company and its stakeholders.
Financial Implications
This consortium's proposal includes an impressive upfront fee of €2,230 million, which highlights the significant value associated with the forthcoming license. IGT’s CEO, Vince Sadusky, has remarked that this financial commitment will not only secure their position but is also expected to significantly boost revenue and profit opportunities. The initial installments of the license fee are anticipated to be made in 2025, with the remaining balance due in subsequent years.
Growth and Expansion Plans
With the nine-year license term securing operations until November 2034, there’s a clear pathway for enhancing the gaming environment in Italy. The concession rate is set at six percent from total wagers, complemented by an additional eight percent fee collected via the digital distribution channel. IGT is poised to leverage this opportunity to drive growth in Lotto wagers and expand its offerings further into iLottery, iCasino, and sports betting within the digital marketplace.
Continued Leadership and Innovation
IGT takes pride in maintaining operational control over its gaming business in Italy. Allwyn Entertainment’s commitment to this consortium ensures collaborative success, sharing the burden of license fees and capital expenditures. The focus on fresh innovations in gaming technology is anticipated to keep IGT at the forefront of industry development.
Conference Call and Information
IGT will hold a conference call to discuss this exciting news, scheduled for the near future, offering stakeholders the opportunity to engage directly with company leaders. Participants are encouraged to register early for this call and to utilize the available webcast. More information can be found on IGT's Investor Relations platform.
About IGT
IGT stands as a global authority in the gaming industry, continually evolving to offer engaging and responsible gaming experiences worldwide. From lotteries to gaming machines, sports betting, and digital avenues, IGT is dedicated to creating fun and impactful content. The company operates across more than 100 jurisdictions and is committed to the highest standards of service to ensure integrity and responsibility in gaming. With around 11,000 employees strong, IGT showcases a robust local presence and relationships with various governments and regulators.
Frequently Asked Questions
What is the significance of the Italy Lotto license for IGT?
The Italy Lotto license is crucial for IGT, enhancing their presence in a significant market and allowing for continued innovation in gaming over the next nine years.
How will the consortium fund the license fee?
The consortium plans to pay the €2,230 million license fee in three installments, with initial payments scheduled for the coming years.
What kind of innovations is IGT planning?
IGT aims to introduce new technology that will enhance Lotto wagers and expand into areas such as iLottery, iCasino, and sports betting.
Who are the key partners in the LottoItalia consortium?
The consortium is led by IGT and includes Allwyn, Arianna 2001, and Novomatic Italia, each contributing to the overall success of the bid.
How can stakeholders participate in the conference call?
Stakeholders can participate in the upcoming conference call by registering through the provided link on IGT's Investor Relations website.
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