Italy's Lottomatica to absorb Spain's Cirsa in merger creating €2B EBITDA gaming leader
What's the deal? Spanish gaming operator Cirsa has agreed to merge with Italy's Lottomatica GroupDealroom has a profile for this one. Try Dealroom →, which will absorb Cirsa entirely. The Spanish company will be dissolved without liquidation, transferring its full assets to LottomaticaDealroom has a profile for this one. Try Dealroom → in a cross-border intra-EU merger. Cirsa shareholders will receive 0.668 newly issued Lottomatica shares for each Cirsa share.
What's the endgame? The combination aims to create a global leader in sports betting and gaming, with number-one positions in Italy and Spain. The merged entity would be the world's second-largest listed betting and gaming operator, with pro forma adjusted EBITDA of roughly €2 billion.
The numbers: The companies cite exposure to a combined addressable market of €34 billion and nine leadership positions. They project about €115 million in annual pre-tax cash synergies from operating and interest cost savings, expected by the third full year after closing.
What's in it for shareholders? Current Cirsa capital would represent roughly 32.5% of Lottomatica after the merger. Before closing, Cirsa will distribute an extraordinary dividend of about €262 million from share premium. Lottomatica has pledged up to €4 billion in capital distributions over the three years following closing, subject to annual shareholder approval.
Why now? Blackstone, Cirsa's majority owner, controls LHMC MidcoDealroom has a profile for this one. Try Dealroom →, which has already signed the agreement and committed to vote in favour of the merger at Cirsa's general meeting. Cirsa plans to use Lottomatica's omnichannel experience to accelerate online expansion in its key markets.
What changes? Lottomatica shares will remain listed on Euronext Milan and are expected to begin trading on Spanish stock exchanges once the merger completes. Lottomatica will acquire Cirsa's rights and obligations through universal succession.
The signal: The deal reflects continued consolidation across the betting and gaming sector, with operators combining scale to compete in high-growth markets and expand online.
Read more: bolsamania.com
