Published: March 5, 2023

Lottomatica's shareholders approve listing at Euronext Milan

ROME, Feb 27 (Reuters) - Italy's Lottomatica said on Monday its shareholders had approved the start of the process leading to an initial public offering (IPO) on Borsa Italiana's Euronext Milan.

Two weeks ago, two sources close to the matter had told Reuters that the company's listing could happen as early as April.

Lottomatica, owned by Apollo Global Management (APO.N), is aiming to offer new and existing shares, the sources said at the time.

The Italian gambling company will use the additional resources to shore up its finances, allowing it to grow further through acquisitions, one of the sources said.

On Monday, Lottomatica also announced a pro-forma earnings before interest, taxes, depreciation, and amortisation (EBIDTA) for 2022 of 518 million euros ($548.61 million).

The pro-forma EBIDTA took into account the acquisition of Italian remote gaming and betting collection company Betflag, which Lottomatica completed in November.

The company confirmed data from preliminary results issued in January, including that it had collected 22.8 billion euros in bets last year, with revenues of around 1.4 billion euros.

Lottomatica offers gambling on sports and other events both online and in retail outlets, as well as operating a network of gaming machines in premises across Italy.

Lottomatica had said in January that it was considering a potential public listing among strategic options to support growth.


Jan 11, 2023

(Bloomberg) -- Lottomatica, the Italian gambling company backed by Apollo Global Management Inc., is considering a Milan initial public offering this year that could raise about $1 billion, people familiar with the matter said.

Lottomatica is working with banks including UniCredit SpA as it evaluates the listing, which could take place as soon as the second quarter, the people said. It’s considering seeking a valuation of around $5 billion including debt, according to the people, who asked not to be identified because the information is private.

Bonds of Lottomatica rose Thursday as investors reacted to the news. Its €575 million bonds due July 2025 jumped as much as 1.6 cents on the euro to 97.6 cents, the highest since last April.

Europe’s IPO market effectively shut last year as rising interest rates and heightened inflation pushed investors into risk-off mode. Some companies are now betting that pent-up demand for listings will help them get IPOs away in the months ahead. 

Lottomatica operates in Italy’s regulated gaming market and is active in the online, sports betting and slot machine segments. The company hasn’t set precise terms for the offering, and details of the share sale could change depending on market conditions. 

Representatives for Lottomatica, Apollo and UniCredit declined to comment. 

Sisal SpA, Italy’s oldest betting company, also took a stab at listing on the Milan exchange before being bought by Flutter Entertainment Plc in a £1.6 billion ($2 billion) deal agreed in 2021. 

(Updates with bond move in third paragraph.)

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