JUE 5 DE DICIEMBRE DE 2024 - 00:43hs.
US$100m bid

IGT threatens to sue after losing concession for São Paulo lotteries

The multinational International Game Technology (IGT) continues its fight for space in São Paulo, even after losing the concession for the state lottery. The company plans to take the case to court, arguing that the competitor that won the bid does not have the technical qualifications necessary to take over the business. The highest bid, from the Aposta Vencedora consortium, reached R$600 million (US$100m).

An IGT executive expressed his frustration, stating: “I don’t want to get into a nuclear war with the São Paulo government, but I’m tired of waiting.”

Recently, IGT sent a letter to the Secretary of Investment Partnerships, Rafael Benini, requesting that the technical qualifications of the competing company be disclosed. However, the multinational did not receive a response, which intensified its dissatisfaction with the situation.

The lack of communication from the government is seen as an obstacle to transparency in the process.

The dispute between IGT and the new concessionaire raises questions about transparency and competitiveness in the gambling sector in São Paulo. The company, which already has experience in the market, seeks to ensure that all competitors comply with the established technical requirements.

The government of the state of São Paulo held an auction to compete for the concession of the state lottery service, the highest bid of which, R$600 million (US$100m), was won by the Aposta Vencedora consortium, led by the Portuguese company SAV Participações

The consortium will be able to operate the service in a physical or virtual manner, in the forecast (such as sports betting) and instant (such as scratch cards) modalities for the next 15 years.

Source: GMB / Veja