More than 10 companies registered for each LOTEX road show

Almeida took part in the seminar "Emerging Countries and the Agenda for Sustainable Development", held at the Getúlio Vargas Foundation (FGV), and will travel to London this week, where the government will present on Thursday and Friday the presentation for investors (road-show) on the sale of Lotex, the government company responsible for electronic lotteries, the " raspadinha” (scratch card).

Each of the meetings already has about 50 confirmed investors (3 to 5 per company), he told reporters on Monday. The company's minimum price is R$ 923 million (USD 293 million). Besides the English capital city, there will be meetings of the Brazilian government in the United States. Initially, the idea was to hold the meetings in New York, but they will take place in Las Vegas, where the traditional G2E trade show will take place next week, having a large presence of industry investors.

Worldwide, the instant lottery market is controlled by about five major companies (IGT, Scientific Games, Pollard Banknote, Intralot and Novomatic) and, according to the secretary, all have already shown that they want to participate in the auction. "You have very clear legislation, which is in public consultation," he said.

The Brazilian delegation will be composed, in addition to the Treasury, by the National Bank for Economic and Social Development (BNDES) and technicians of the Investment Partnerships Program (PPI), in addition to the companies contracted to participate in the asset sales program.

"The idea is to show in the first part a little bit what is happening in Brazil, economic changes. In the second part, the objective is to talk specifically about Lotex, with an auction that we expect to happen in December," Almeida said on Monday. In each country, it will be two days of meetings. The first one only with a presentario of the government and the second day to ask specific doubts of the investors. Upon returning to Brazil, there will be road shows in Rio and São Paulo.

The " raspadinha" represents about 25% of the world lottery market, said Almeida, noting that some markets, such as Portugal, the percentage reaches 50%. "Companies need a large scale gain," he said, noting that in Brazil, Caixa's lotteries have 13,000 sales points. "At Lotex, for the company to be profitable, it will need more or less 65,000 points. It's a very big logistics challenge because you have to send a ticket to the interior of Maranhão, Piauí, etc."

Although the auction is set for December, the money raised from the operation is not expected to go into the government's result this year, as the financial settlement will happen after the 20th of the last month of the year and will be introduced in 2018.

Source: GMB