Lottoland takes stake in Australian lottery operator Jumbo Interactive
Firm acquires more than three million shares - a 7.1% holding, CEO Nigel Birrell says firm wants to accelerate growth Down Under
Lottoland has invested in Australian lottery operator Jumbo Interactive with the firm snapping up more than three million shares for a 7.1% holding, EGR Intel can confirm.
Recent local reports had suggested Lottoland was the mystery Jumbo investor, but today EGR Intel can reveal the firm has acquired 3,117,224, valued at approximately AUS$7.5m (£4.5m).
Speculation surrounding Lottoland’s investment has seen Jumbo shares rise in recent weeks with the AUX-listed firm’s stock up from $1.86 on 13 April to $2.38 today.
And speaking to EGR Intel, Lottoland CEO Nigel Birrell said the firm could be ready to make further investments into the Australian market.
“This is another example of Lottoland’s long term commitment to the Australian market, building on the success of our first year we are looking at many opportunities to accelerate our growth,” Birrell said.
The deal could ruffle the feathers of gaming giant Tatts, which has become a rival of Lottoland since the latter entered the market last year.
Jumbo currently operates the OzLotteries brand under a Tatts licence, which leaves the door open to Tatts to bring that operation in-house.
Yesterday, EGR Intel reported that Lottoland had opened talks with Victoria Racing Club to sponsor the prestigious Melbourne Cup race from next year.