Sisal: Flutter buys the Superanalotto group for 1.9 billion

Sisal moves to Ireland. CVC Capital Partners Fund VI, which bought it in 2016, sold the betting group that also manages Superenalotto to Flutter Entertainment, a Dublin-based gaming and entertainment holding company. The operation, which will be completed in the second quarter of 2022, is worth 1.9 billion euros, 1.62 billion pounds.

The acquisition is part of Flutter's strategy of investing to achieve a "leadership position on regulated markets globally," the company said in a statement. The deal, according to forecasts, will have a positive impact on the profit for the first 12 months after closing.

"Over the past five years, thanks to the support of CVC, we have successfully transformed Sisal into a digital and international company, leader in the gaming sector", said Francesco Durante, CEO of Sisal, adding he was happy to "join Flutter and we are convinced that, thanks to the experience and skills developed at group level, we will be able to further strengthen our leadership in the markets in which we operate ".

Peter Jackson, Flutter Chief Executive, commented:

“I am delighted to add Sisal, Italy’s leading gaming brand, to the Group as we look to attain a gold medal position in the Italian market. For some time we have wanted to pursue this market opportunity via an omni-channel strategy and this acquisition will ideally position us to do so. Sisal has grown its online presence significantly in recent years, aided by its proprietary platform and commitment to innovation. I’m excited to see how Flutter can complement these capabilities through our scale, differentiated products and operational capabilities. We look forward to welcoming Francesco and the rest of the Sisal team to Flutter in 2022.”

Giampiero Mazza, Managing Partner of Cvc Italy, commented:

“We are very proud of the success achieved by Sisal and its transformation after our acquisition in 2016. Through a strong investment in its digital skills, Sisal has become the leading Italian brand in the play online, while also increasing its international presence. Furthermore, the Company has become the leader in responsible gaming in Italy ".

Sisal expects to generate 248 million euros in 2021, with 58% deriving from the online offer and the remainder from retail and lotteries. According to numbers provided by Flutter, which also owns brands such as PokerStars and BetFair, the potential for this acquisition is very large. In fact, Italy represents the second European betting market after the United Kingdom. However, online gaming has limited penetration, amounting to around 10% in 2019 and, according to estimates, around 20% after the pandemic. According to the company's forecasts, the Italian market as a whole could experience an average annual expansion of 18% by 2024, to reach 3.6 billion pounds in value. In this context, Sisal has a market share close to 12% and Flutter intends to bring it to around 20%.