Sisal moves to Ireland. CVC Capital Partners Fund VI, which had purchased 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 valid 1,9 billion euros, £1,62 billion.
The acquisition fits into Flutter's strategy of investing to achieve a "leadership position in regulated markets globally," the company said in a statement. The deal is expected to have a positive impact on adjusted profit for the first 12 months after closing.
Sisal in 2021 expects to generate a ebitda of 248 million euros, with 58% derived from online offerings and the remainder from retail and lotteries. According to the numbers provided by Flutter, which also owns brands such as PokerStars and BetFair, the potential of this acquisition is very large. Indeed, Italy represents the second European betting market after the UK. However, online gaming has limited penetration, equal 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 register an average annual expansion of 18% to 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%.
“Over the last 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, saying he is 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".
“I am delighted to welcome Sisal, Italy's leading gaming operator, to Flutter as this allows us to acquire a leading position in the Italian market. We have long wanted to pursue this market opportunity by focusing on an omnichannel strategy and this acquisition will allow us to do it in the best possible way,” said Peter Jackson, CEO of Flutter. “Sisal – he continued – has increased its online presence in recent years, thanks to its proprietary platform and commitment to innovation. I am excited to see these aspects integrated into Flutter's product portfolio 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 as follows: “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 online gaming, while also increasing the its international presence. Furthermore, the Company has become a leader in responsible gaming in Italy”.
In the 12 months to December Sisal expects to generate an Ebitda of 248 million euros, with 58% deriving from the online offer and the remainder from retail and lotteries. According to the numbers provided by Flutter, which also owns brands such as PokerStars and BetFair, the potential of this acquisition is very large. Indeed, Italy represents the second largest European betting market after the United Kingdom. However, online gaming has limited penetration, equal to around 10% in 2019, but it is estimated that Covid has generated an increase of around 20%. According to the company's estimates, the Italian market as a whole could register an average annual expansion of 18% by 2024, to reach 3,6 billion pounds in value. In this it has a market share of almost 12% and Flutter intends to bring it to around 20%.
