Global lottery powerhouse, Allwyn, has solidified its control over OPAP, the Greek gaming behemoth, by purchasing the remaining fractional ownership in Sazka Delta. Consider Sazka an investment vehicle; Allwyn utilized it to oversee its OPAP holdings. This recent action elevates Allwyn’s practical financial interest in OPAP from 41.2% to a commanding 48.1%. To illustrate the magnitude, Allwyn’s portion of OPAP is now valued at approximately €3.274 billion (or $3.715 billion) based on prevailing market valuations. Allwyn paid a surcharge for these outstanding shares – roughly 10% exceeding OPAP’s current market price – which encompassed assuming Sazka’s net liabilities and operating capital.
The agreement itself was reached with Yeonama Holdings Co., and Allwyn funded it through a blend of cash reserves and the earnings from a recent €600 million bond offering. This calculated acquisition highlights Allwyn’s goal to broaden its presence in the European market, specifically within the Greek lottery and leisure industry where OPAP holds a dominant position.
Robert Chvatal, Chief Executive of Allwyn, stressed the importance of this purchase, stating that obtaining the remaining minority interest in Sazka was paramount for the company’s extended growth plan.
He remarked: “Procuring the remaining minority interest in SAZKA Delta is a significant achievement for Allwyn. This transaction signifies another phase in our longstanding objective of possessing a majority interest in our operational companies. It also denotes the final step in our acquisition of the other stakeholders’ interests in SAZKA Delta, which we have been pursuing through a series of dealings over the past three years.”
Our investment in OPAP, the prominent Greek gaming company, has substantially increased through two avenues: dividend reinvestment and open market share purchases. This strategic approach has elevated our ownership from 23.7% in 2018 to a dominant 48.1% presently. We are highly satisfied with OPAP’s latest results and perceive a promising trajectory.”
Speculation is circulating that Allwyn, the parent company of OPAP, is contemplating appointing Justin King, the former head of Sainsbury’s (a major UK grocery retailer), to oversee their UK lottery division.
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