Intralot, a global supplier of sports betting and lottery products and technology, announced it reached a binding agreement with Saga to offload its stake at the Intralot do Brazil business.
Offloading Exposure in Brazil
Intralot revealed Saga agreed to a total cash consideration of €700,000 for the 80% stake the Greek-based company holds in the business in Brazil. Saga is the only other Intralot do Brazil shareholder, holding the remaining 20%.
Upon closing the transaction, subject to the completion of certain customary conditions which are standard for these types of transactions, Intralot do Brazil will continue to operate powered by Intralot’s gaming technology.
The sale of the 80% stake at Intralot do Brazil is not expected to have a significant impact on the financial performance of Intralot, as the business accounted for 0.5% of the group’s earnings before interest, tax, depreciation and amortization (EBITDA) in 2020.
Intralot concluded its official press release by stating that it would provide follow-up announcements when the transaction is finalized as per regulatory requirements.
Brazil is one of many destinations around the world Greek operator Intralot has established presence, and the decision to offload the business means the group will concentrate its efforts elsewhere.
Expanding Presence in the US
At the beginning of the year, Intralot ensured its home market presence by extending its contract with Greek lottery operator OPAP SA. The extension was due to OPAP activating an existing 2-year extension clause with the technology services supplier to keep Intralot as its lead systems provider for numerical lottery products and services for another 2 years starting from August 2021.
In the US, Intralot has significant presence in several jurisdictions among which Georgia, Montana, Washington DC and others.
In October last year, the supplier of sports betting and lottery technology, products and services extended its existing partnership deal with the Georgia Lottery Corporation, encompassing advanced services around Intralot’s COAM (Coin Operated Amusement Machines) to 2029.
Intralot and the lottery partnered in 2014 when the Georgia Lottery Corporation awarded the technology supplier with a contract for the iGEM Central Monitoring and Accounting System and related products and services, running from 2015 and expected to complete by the end of 2022.
Also in October 2020, Intralot ensured it plays a role in the gaining traction sports betting market in the US by forging an alliance with Simplebet to leverage micro-betting solutions in Montana and Washington DC for Major League Baseball, the National Basketball Association and the National Football League, and after launching successfully in both jurisdictions Micro-Markets on the NFL playoffs, the pair recently launched micro-betting products on matches from the NBA and MLB.
Intralot is also the sports betting technology provider in Montana, powering the Sports Bet Montana betting terminals installed at various licensed locations statewide.