Lottomatica Group, a branch of GBO SpA subsidiary, has recently reached an agreement to purchase SKS365 Malta Holdings, an Italian-facing operator. This deal places a value of €639m on the SKS365 Malta’s business enterprise. The acquisition is expected to strengthen Lottomatica’s position in the Italian market, expand its brand portfolio, and accelerate its growth profile.
SKS365 Malta Holdings is an omnichannel operator with a significant online presence and about 1,000 retail sports betting points. It operates core brands such as PlanetWin365 and PlanetPay365. The company anticipates reporting €74m in EBITDA for its 2023 fiscal year, with 70% from online and 30% from retail.
Lottomatica intends to finance the acquisition through a combination of available cash and additional debt. The company aims to complete the acquisition in the first half of 2024, subject to securing anti-trust and regulatory approvals. Lottomatica anticipates achieving cash cost synergies of €60m and revenue synergies of at least €5m by 2026.
Lottomatica CEO, Guglielmo Angelozzi, expressed excitement about welcoming SKS365 to the company and adding valuable brands to the portfolio. He highlighted plans to leverage the skills of the enlarged group to support the next phase of growth. Meanwhile, SKS365 CEO, Alexander Martin, stated that SKS365 is proud to become part of the Lottomatica Group and is eager to continue working with them.
Following news of the acquisition, Lottomatica shares saw a 3.7% increase, reaching €9.37. This development seemingly ends Playtech’s hope of acquiring SKS365. In September, Playtech had confirmed talks over a potential acquisition of the Italian-facing operator, along with Flutter. However, Lottomatica has now taken the lead in acquiring SKS365, leaving Playtech to acknowledge the deal and lay out its position moving forward.