Tatts acquires 15 pct stake in Jumbo, extends agreements

Australian lottery giant Tatts Group Ltd has acquired a 15 percent stake in internet lotteries business Jumbo Interactive Ltd for A$15.7 million, according to a filing from Tatts last week to the Australian Stock Exchange.

Last week, Tatts purchased 6.6 million newly issued Jumbo shares at A$2.37 per share, with a 12-month option to acquire another 3.5 million shares at the same price, subject to shareholder approval.

The deal also extends all of Tatts’ current reseller agreements with Jumbo (in NSW, VIC, SA, N.T. and Fiji) for five years, with further provisions to continue beyond 2022.

Under the agreement, Tatts will also provide an expanded product portfolio to include the popular “Set for Life” game.

The reseller agreements will include termination rights for Tatts, allowing the company to terminate each of the reseller agreements under certain conditions.

"These new arrangements strengthen the long-standing commercial relationship between Tatts and Jumbo," said Tatts in a statement.

More news from this jurisdiction

AustraliaFriday, May 26, 2017

One of the directors of Australian casino operator The Star Entertainment Group is setting up a new company designed to help promote women to leadership roles in the casino and gaming industry.

AustraliaFriday, May 26, 2017

Australian wagering operator CrownBet is going to the Supreme Court of NSW in a bid to expedite approval of its digital wagering advertising deal with licensed clubs in NSW.

Australia, NepalThursday, May 25, 2017

Silver Heritage chairman David Green says the company is close to completing negotiations which would bridge the financing gap for its Nepal-located Tiger Palace resort.

AustraliaThursday, May 25, 2017

Australia-listed Aristocrat Leisure reported a strong rise in net profit for the first half of the year, and also announced its profit expectations for the full year ended Sept. 30, 2017.

Australia, ElsewhereMonday, May 22, 2017

Casino operator Crown Resorts is exiting the Las Vegas market, selling its 35-acre parcel of prime real estate on the Las Vegas Boulevard.

AustraliaThursday, May 18, 2017

Ladbrokes Australia has signed a three-year deal to become the official online betting partner of the PGA of Australia.

AustraliaWednesday, May 17, 2017

Organizers of the Australasian Gaming Expo has announced today a program of complimentary seminars that will be run over the course of the first two days of AGE 2017.