IGT Secures Italian Lottery License in 22.3 Billion Euro Bid

International Game Technology (IGT) has announced that a consortium led by the company has successfully secured the Italian lottery license, marking a significant milestone in the global gaming industry. The consortium, which includes IGT, Allwyn, Arianna 2001, and Novomatic Italia, has been awarded the license by the Italian gambling regulatory authority, with the contract set to run for nine years until November 2034. The total value of the bid is 22.3 billion euros, underscoring the substantial investment and strategic importance of this acquisition for IGT and its partners.

The Italian lottery market is one of the largest and most lucrative in Europe, and securing this license positions IGT at the forefront of the region's gaming industry. The nine-year contract provides a stable revenue stream and a platform for IGT to expand its presence in the European market. This move is expected to enhance IGT's market share and strengthen its competitive position against other major players in the industry.

The acquisition of the Italian lottery license is a testament to IGT's strategic vision and its ability to navigate complex regulatory environments. The company's leadership in the gaming technology sector, combined with its extensive experience in managing large-scale lottery operations, has been instrumental in securing this high-value contract. The consortium's success in this bid reflects IGT's commitment to innovation and its dedication to delivering high-quality gaming experiences to its customers.

The Italian lottery market has been undergoing significant changes in recent years, with the government implementing stricter regulations to combat illegal gambling and ensure fair play. IGT's acquisition of the license comes at a time when the market is ripe for growth, and the company is well-positioned to capitalize on this opportunity. The nine-year contract provides a stable revenue stream and a platform for IGT to expand its presence in the European market. This move is expected to enhance IGT's market share and strengthen its competitive position against other major players in the industry.

IGT's Chief Executive Officer, Vince Sadusky, emphasized the significance of the investment, stating, "Our investment of 22.3 billion euros in upfront fees underscores the immense value of the new license. IGT is confident that this investment will significantly enhance our revenue and profit potential." He further highlighted that with the new license in effect, the company plans to introduce a series of innovative products and initiatives aimed at driving lottery ticket sales. Additionally, IGT intends to substantially increase the sales of iLottery (online lottery) and leverage this to actively expand its B2C iCasino (online casino), sports betting, and other digital gaming businesses in Italy.

The consortium's bid includes a substantial upfront fee of 22.3 billion euros, which is to be paid in three installments from the date of the award until April 2026. According to current projections, the first two payments of 5 billion euros and 3 billion euros are scheduled for 2025, with the remaining amount due in 2026. This financial commitment underscores the consortium's confidence in the long-term viability and profitability of the Italian lottery market.