Sportech in talks about buying iLottery provider LOT.TO
Betting technology business Sportech announced a strategic alliance with iLottery provider Lot.to Systems (LOT.TO) on Friday and said it has entered exclusive negotiations with a view to buying the company
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Sportech said the deal would be "non-material" in the context of the group, but the alliance will provide mutual clients with a broader suite of gaming opportunities and the acquisition would further solidify its global gaming services positions.
Executive chairman Richard McGuire pointed out that the global gambling market is expected to reach an annual turnover of $635bn by 2020, with the lottery sector accounting for about 30% of that.
"Our strategic alliance with LOT.TO will enhance our existing successful core lottery product and will help us to capitalise on the worldwide growth of lottery and lottery-style games and reach an ever-expanding digital audience," he said.
UK-based and regulated, LOT.TO is a digital specialist and B2B partner for online gaming businesses. Its products include inventive lottery and betting games and state of the art player management systems delivered on its cloud-based 'iLottery' platform.
LOT.TO co-founder Andrew Lindley said: "Our future with Sportech is hugely exciting because our clients can benefit from the combination of Sportech's proven robust processing technology and hardware and our innovative iLottery platform in a single offering as well as the obvious synergies in sports betting platforms. Together, we can offer clients a truly world-class omni-channel solution that's incredibly powerful."
At 0900 GMT, the shares were down 2.2% to 39.52p.