Regulatory approval needed
Allwyn Entertainment has entered an agreement to acquire Camelot UK Lotteries. The former will be taking over from the latter in 2024 as the UK National Lottery operator. As a result of the deal with Camelot UK’s current owner, the Ontario Teachers’ Pension Plan Board (OTPP), Camelot UK will become an Allwyn subsidiary.
previously estimated the deal to be worth up to £100m ($118m)
While there were no details provided as to the financial terms of the agreement, a Sky News report previously estimated the deal to be worth up to £100m ($118m). The UK Gambling Commission (UKGC) still needs to provide its approval. The deal is expected to close in the first quarter of next year; the companies will continue to operate separately.
Welcoming the acquisition
Allwyn Entertainment chief executive Robert Chvátal welcomed the opportunity to take over Camelot UK, saying: “Allwyn and Camelot share a common goal: a passion to protect and improve the UK National Lottery, and the good causes it celebrates.”
Chvátal believes that the transition will be seamless and that the relationship between the two companies will allow for great success in operating the National Lottery for the coming decade.
The OTPP executive managing director for EMEA (Europe, the Middle East, and Africa) Nick Jansa wished Allwyn access and thanked the employees and management at Camelot UK for their efforts over the years. He added that in the dozen years OTPP was a partner of the National Lottery, over £20bn ($23.6bn) was raised for various good causes in the UK.
Getting ready to take over
Allwyn is set to take over as the UK National Lottery operator in February 2024; it was awarded the fourth-ever operating license of the lottery in September. Camelot UK will continue operating the lottery up until the end of January 2024. Allwyn’s license is for ten years.
the sole operator of the UK National Lottery since it began in 1994
Camelot has been the sole operator of the UK National Lottery since it began in 1994. While it had applied to renew its license, it was unsuccessful. Camelot did pursue legal action in order to try to fight the decision, but it ultimately decided to withdraw its challenge.
There have been a few controversies involving Camelot UK over the years. It was fined £3m ($3.5m) in March by the UKGC for multiple mobile app failings, including overcharging users.
