Irish National Lottery Licensee To Expand Online Betting

Published Sunday, March 02, 2014 - Online-Casinos.com
Irish National Lottery Licensee To Expand Online Betting

Last year in October it was announced that a consortium consisting of the U.K. National Lottery operator Camelot and An Post, the state-owned provider of postal services in Ireland, had been named as the preferred bidder for the license to operate the Irish National Lottery under a new 20-year contract reported to be worth €405 million Euro or $542.7 million dollars. One of the significant features of the new agreement is that the licensee will have greater flexibility to operate online. The business currently makes less than 3% of its revenue from online operations.

Now the Premier Lotteries consortium has completed the purchase of the license to run the Irish National Lottery. The new operator will now begin the process of taking control of the franchise within the next year.

The Irish government has sold the lottery's licensing rights in an effort to raise much required funds for the struggling Irish economy. The €405 million euro offered by Premier Lotteries was significantly higher than industry estimates of between €250 million and €300 million that emerged during the bidding process. The Department of Public Expenditure and Reform in Ireland was pleased with the outcome of negotiations with the Premier Lotteries Ireland Consortium comprising An Post, its pension funds and Camelot’s parent company, the Canadian Ontario Teachers’ Pension Plan.

The €405 million fee will be paid in two instalments; the first when the deal is signed later this year and the second when Premier Lotteries takes over the operation of the Irish National Lottery in October of 2014. Brendan Howlin, Minister for Public Expenditure and Reform, said Premier Lotteries had met all the essential requirements provided under the terms of the Government’s license competition and submitted the highest bid. “We have a new operator that brings together valuable domestic expertise together with international experience,” Howlin commented. “I think Premier Lotteries will grow the business in a responsible manner and we can look forward to a greater annual revenue stream for good causes.” Under the terms of the license, the new operator will be required to produce a new technology within the first 18 months of taking over.

 

 

 

 

 

 

 

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