INTRALOT PARTNER IN GIDANI CONSORTIUM THE NEW OPERATOR OF SOUTH AFRICA' s NATIONAL LOTTERY
INTRALOT announces that the Gidani consortium, in which its subsidiary INTRALOT South Africa is an 18% equity member, was chosen as the new operator of the local lottery after an international tender. The contract duration is seven (7) years with a launch date of the 1st of April 2007. The estimated annual gross revenues for the consortium will reach €90 Million on average, while the estimated funds for good causes will exceed €3.5 Billion during the contract. The awarding authority is the Department of Trade and Industry of South Africa and the National Lottery Board will provide control and oversight of the contract.
INTRALOT South Africa, in which INTRALOT S.A. is the majority shareholder, participates in the Gidani Consortium as the second major partner after the South African government which will participate in the consortium as a 20% equity partner. The rest of the consortium -based upon the local regulations about Black Empowerment- consists of various local entities (i.e. local associations, investment groups, NGOs etc).
Significant emphasis will be placed on raising INTRALOT’s sources of revenues via its subsidiary, by increasing sales through the development and implementation of customized and innovative marketing and promotional programs, on improving the relatively low penetration of the lottery’s current games within the country through the design and introduction of new games and on the expansion and optimization of the sales’ network, etc.
Specifically, INTRALOT will be the main provider of the necessary technology and services for the implementation and support of the overall project. The project entails the procurement, installation and support of an advanced integrated network which includes an initial installation of 7.626 CORONIS terminals and their peripherals –which will reach 10.626-, the core operating system “LOTOS” and the telecommunications infrastructure for the flawless operation of the network. INTRALOT will also provide all the necessary training on the use of the new terminals, software as well as on client services’ best practices and transactions’ safety to the retailers across the country.
INTRALOT S.A. CEO, Mr. Constantinos Antonopoulos stated: “We are very pleased with this award, not only because we consider it as a further step in our expansion worldwide, but also for the reason that INTRALOT was found to have had the best solution and was chosen over the leading companies in the industry. Our contribution to the operation of the South Africa Lottery is a highly important addition to our international portfolio and we commit to working closely with our Gidani partners to deliver as many benefits and profits to the lottery, INTRALOT, the consortium and the citizens of South Africa”.
With its approximately 45 million inhabitants, South Africa is a rapidly developing country and its stock market ranks among the 10 biggest of the world. The gaming market’s size is estimated to be $1.3 Billion. It will be the host country of the 2010 World Cup and, based upon developed countries’ standards, has a remarkable telecommunications, transport and energy infrastructure. Its economy is “healthy” and its future prospects are very optimistic.
INTRALOT, a public company listed on the ASE, is a leading supplier of integrated gaming and transaction processing systems, innovative game content and value added services to state-licensed gaming organizations worldwide. Its broad portfolio of products & services, its know-how of Lottery, Betting & Video Lottery operations, its experience in sports games and its leading-edge technology give INTRALOT a competitive advantage which contributes directly to customers’ efficiency, profitability and growth. INTRALOT’s footprint straddles five continents with 37 subsidiaries, 8 business offices, over 3,600 people and revenues of € 523 million for 2005 and €700(e) for 2006.