International Game Technology PLC (IGT) saw its shares surge 8.93% in pre-market trading on Monday, following the announcement that an IGT-led consortium is set to be awarded the coveted Italy Lotto License. This significant development secures the company's operational control of the Italian lottery business until November 2034, marking a major win for the gaming technology giant.
The consortium, known as LottoItalia, includes partners Allwyn, Arianna 2001, and Novomatic Italia. Their successful bid involves a substantial upfront license fee of €2,230 million, payable in installments through April 2026. IGT has outlined plans for significant investments to boost revenue, with a focus on innovation and expansion into digital gaming sectors such as iLottery and sports betting.
Investors are reacting positively to the news, as the long-term license promises steady revenue streams for IGT in the lucrative Italian market. The company expects to make the first two installments of €500 million and €300 million in 2025, demonstrating the immediate financial impact of this deal. While the official award notice from the Agenzia delle Dogane e dei Monopoli (ADM) is anticipated within 35 days, the market's enthusiastic response suggests high confidence in the successful completion of this agreement.
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