Flutter CEO Peter Jackson Signals Bid Interest in Italy’s Main Lottery Licence

Flutter Entertainment chief executive officer (CEO) Peter Jackson has signalled an interest in potentially pursuing a €1 billion-plus bid for Italy’s main lottery licence, as the current contract with fellow gambling giant International Game Technology (IGT) expires in 12 months’ time.

Jackson reportedly told The Irish Times that Flutter was interested in making a bid for the lottery licence mainly so it could direct customers to its online gambling offerings. The newspaper reported that the CEO said Flutter was bypassing Italy’s ban on the advertising of online gambling by cross-selling through its lottery licence by providing scannable links on the backs of lottery tickets.

“We don’t have to, but if it makes economic sense, we’ll do it,” Jackson said when asked if Flutter would bid for the Italian lottery licence.

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The main Italian lottery has been run by International Game Technology (IGT), previously Lottomatica Holdings, for three decades via its Lotterie Nazionali and Lotto Italia subsidiaries. The current contract expires in 12 months’ time, and the Italian government is to launch a bidding process for a new nine-year licence. The minimum tender has been set at €1bn, payable in installments.

Flutter, the parent of Paddy Power, Betfair and the fast-growing US brand FanDuel, reported that its revenues grew by 27% in the third quarter to $3.25 billion, to beat the consensus estimate of analysts by almost $150 million. Adjusted earnings before interest, tax, depreciation and amortisation (Ebitda) soared 74% to $450 million.