FDJ Closes Irish Premier Lotteries Acquisition for Approximate Value of €350 Million
The French lottery operator, FDJ United, previously known as La Française des Jeux, has made waves with its €350 million acquisition of Premier Lotteries Ireland (PLI). This historic move signifies Ireland's departure from managing its National Lottery and FDJ United's first venture into an international market, operating the Irish National Lottery until 2034.
FDJ United is now armed with the exclusive rights to distribute over 30 games through more than 5,200 retail outlets and online platforms. Stéphane Pallez, FDJ United's President and CEO, expressed delight at the acquisition, stating, "This transaction aligns perfectly with our international development strategy and recreational, responsible gaming model. We're looking forward to collaborating and capitalizing on all opportunities."
Premier Lotteries Ireland's (PLI) CEO, Andrew Algeo, appreciated FDJ United's support, describing the acquisition as the beginning of an exciting new chapter. The existing PLI shareholders, including Ontario Teachers' Pension Plan, An Post Pension Fund, and An Post, have agreed to sell their respective shares. David McRedmond, An Post CEO and National Lottery Director, viewed the agreement as beneficial, praising FDJ United's industry expertise.
PLI reported a successful 2021, achieving sales of €1.05 billion, their best year to date. Vivienne Jupp, PLI's Chair, attributed the company's growth to its strong performance since winning the Irish National Lottery licence. The acquisition will significantly contribute to FDJ United's economic growth, as the reported 2022 profit of PLI was €140 million, projected to boost FDJ United's overall growth by over 5%.
This acquisition marks a significant expansion for FDJ United into the Irish market, diversifying its revenue streams and providing opportunities for growth and collaboration. However, challenges, such as regulatory hurdles and operational changes, may arise during the integration process.
For the Irish National Lottery, the involvement of a major international player like FDJ United could boost competitive positioning, potentially bringing in new technologies and marketing strategies. The stable long-term agreement guarantees consistent revenue flow for charitable causes and public services. Operational changes and regulatory adaptations may be required to align with FDJ United's international standards and best practices in lottery operations.
In a nutshell, the acquisition strengthens FDJ United's status as a global lottery operator, offering Premier Lotteries Ireland and the Irish National Lottery stability and growth opportunities within a broader international framework.
- FDJ United, as a result of their €350 million acquisition of Premier Lotteries Ireland (PLI), will enable financing for investing in the business of the Irish National Lottery, running it until 2034.
- Stéphane Pallez, the President and CEO of FDJ United, expressed excitement over their venture into the Irish market, specifically mentioning the international development strategy and collaboration opportunities the acquisition presents.
- PLI, under FDJ United's management, will distribute over 30 games through more than 5,200 retail outlets and online platforms, providing growth opportunities for both companies.
- The acquisition of PLI by FDJ United could potentially improve the competitive positioning of the Irish National Lottery, possibly introducing new technologies and marketing strategies.
