IGT and Sisal Compete for Italy’s Nine-Year Lotto Concession
Italy’s latest Lotto concession tender has attracted two major bidders: IGT and Sisal. The nine-year contract, valued at an estimated €4.3 billion in revenue, is set to be fiercely contested. Analysts predict that the final bid could reach as high as €1.5 billion, well above the initial €1 billion starting price. The final outcome expected within a month.
Two Bidders Confirmed for Lotto Tender
With the deadline for submissions closed on March 17, two contenders have emerged for Italy’s lucrative Lotto concession: IGT, the current operator, and Sisal, part of the Flutter Group. The contract will grant exclusive rights to manage the Lotto for the next nine years, a business projected to generate €4.3 billion in revenue (excluding VAT).
While the auction officially started at €1 billion, industry analysts anticipate that the final price could reach €1.5 billion due to the strategic importance of the Lotto market. The selection process will be based on both economic factors (60%) and technical and investment commitments (40%), ensuring that operational capabilities and service quality play a significant role in the final decision.
IGT Seeks to Extend Its Longstanding Operation
IGT, which has managed Italy’s Lotto since 1993, is bidding alongside Novomatic, the Italian Tobacco Federation (FIT), and Allwyn. Under IGT’s tenure, Lotto operations have expanded significantly, with annual collections increasing from €2.5 billion to €7.6 billion by 2022, according to data from the Monopoly Agency’s Blue Book.
Beyond financial performance, IGT has also maintained a strong regulatory standing, recently securing its sixth consecutive responsible gaming certification in Italy. Over a six-year period (2016–2022), the company contributed €9.6 billion in tax revenue, averaging €1.3 billion annually.
Sisal Expands Lottery Presence with Strategic Bid
Sisal, which has operated SuperEnalotto for 27 years, is now competing to manage the Lotto for the first time. Since being acquired by Flutter in 2022 for €2 billion, the company has accelerated its digital transformation and expanded into international lottery markets, securing licences in Morocco and Turkey.
Sisal’s bid is backed by Scientific Games, aligning with earlier reports that Flutter could enter a joint bid for the Italian lottery licence. The move underscores Flutter’s ambitions in the regulated lottery sector, particularly in Europe.
Expected Decision
The Italian government’s selection will not be based solely on financial bids. If the competing offers are similar, the technical proposal, service quality, network reach, and investment commitments will become decisive factors.
Regulators will review the proposals before awarding the contract, with the final decision expected within a month.