A new era of Italian gambling began after Gamenet Group completed a € 1.1 billion buyback IGT. Plc Lottomatica subsidiaries B2C.
Gamenet and IGT reported this morning that all final sale agreements have been made Scommesse (sports betting) and the Videolot Rete slot machine from Lottomatica. units.
Completing the acquisition, Gamenet has confirmed that it will now manage all B2C units under the Lottomatica brand to capitalize on the identity of its new assets' legacy with the Italian public.
“The new Lottomatica becomes the leader in the regulated gaming market in Italy, leading the online, sports betting and slot machine business segments,” Gamenet said.
Providing a breakdown of assets, Gamenet announced that the new Lottomatica will operate a franchise network of 3 people, 000 betting points, 1, 400 gaming halls, 13, 600 tobacco / slot machine bars and 120 gaming establishments.
US Direct Investment Fund Apollo Global - the owner of Gamenet - called this formation a "strategic milestone" which highlighted that Italy is now served by the new gambling giant, which recorded total revenue of 1.6 billion euros and staked 22 billion euros during 2019.
Head of the transaction, partner of Apollo Michelle Rabat said: “Our funds have backed Gamenet with a significant capital injection to complete this transaction that has changed the Italian gaming market.
"We are very enthusiastic about the prospects for further growth for the company following this transaction and we will continue to support Gamenet, now Lottomatica, in consolidating this sector outside of Italy."
The new Lott omatica is emerging amid a disruptive backdrop of changing regulatory dynamics in the Italian gambling industry, a market that has seen tax increases year after year since 2017, as well as tightening of regulatory compliance measures imposed by the government.
Despite the significant sale of assets, IGT will maintain its presence in Italy as its newly created subsidiary Lottomatica B2B will continue to function as the operating company of the Italian lottery SuperEnalotto.
IGT did not disclose whether it is going to rebrand its Italian B2B unit to avoid colliding with a new Gamenet property.
The NYSE technology group previously reported that all proceeds from its sale in Italy would be used to reduce its long-term sale. urgent corporate debt, which amounts to 7.5 billion euros.
“This transformational deal makes our combined group one of the leading betting and gaming companies in Europe,” commented Guglielmo Angelozzi , CEO of the new Lottomatica.
“We are now focusing on the rapid integration of all our assets and entry into new geographic markets. We firmly believe that with our capabilities, our proprietary technology, our financial strength and the support of the Apollo team, we can effectively diversify into new markets and seize significant opportunities for growth and consolidation. ”