Invited by Clarion Gaming to tell the experience of the bidding process to get the Instant Lottery of Brazil (LOTEX), Quattrini says that “Lotex is very attractive, including the fact that other modalities are still prohibited. Now, we are in the process of thinking about new products, doing market research to better understand the preferences of the Brazilian consumer and to be able to launch products that are worthy of the opportunity we are betting on.”
He also highlighted the hard work that took place with SECAP to reach the successful outcome. “Lotex's privatization process, even though it passed through three presidents (first to Dilma, then to Temer and now to Bolsonaro), had a team from the Ministry of Economy that always kept the focus and concluded successfully. This is a sign of the seriousness of the Ministry of Economy staff.”
For Quattrini, the sum of IGT and Scientific Games make up the best and strongest possible team worldwide for a business of this caliber due to the experience and successful performance of both companies in the area of lotteries in jurisdictions in Europe, North America and Central America, among others. Together, both dominate the ticket printing market and are at the forefront marking the world standards of iLottery and ticket management.
The representative of the Estrelha Consortium showed the business numbers projected by the Ministry of Economy of Brazil when he raised the Lotex tender. Throughout the 15-year contract, the government of Brazil would receive US$ 5.5 billion in game taxes (without adding other taxes for which more money would also come in) while retailers would keep US$ 1.8 billion, and the two companies with USD 20 billion.
In addition, more than 35,000 jobs will be created for the new physical outlets that will be established apart from those that Caixa currently has in the country, and about US$ 250 million will be allocated to advertising and marketing.
The total projected by the Ministry of Economy of Brazil together with the BNDES is a gross sale of US$ 30 billion in the 15-year concession, with the sum of the points of sale of Caixa, the additional ones that will be created throughout the country to reach 60,000 and interactive channels. The first year includes a turnover of US$ 368 million, while US$ 3.05 billion is expected for the last year.
Source: GMB
