Gamma Intermediate retains a majority stake of 65.4% in Lottomatica after completing a €152m sale.
The sale was conducted through an accelerated bookbuilding process at a price of €9.50 per share.
The placement was made to institutional investors, with no public offering in any country.
Lottomatica expects the final settlement to be on or around 22 January.
Gamma Intermediate has agreed to a 90-day lock-up for its remaining shares in Lottomatica.
Lottomatica has acquired 100% of the Italian-facing operator SKS365 to strengthen its position in the Italian market.
The acquisition of SKS365 will also expand Lottomatica’s brand portfolio.
Lottomatica plans to issue and sell €500m in notes to fund the acquisition, which is expected to be completed in the first half of 2024.
The agreement places a €639m enterprise value on SKS365.
SKS365 has a strong online presence and operates approximately 1,000 retail sports betting points of sale.
Lottomatica CEO Guglielmo Angelozzi believes SKS365 will be highly valuable and complementary to the group’s portfolio.
Lottomatica won the race to acquire SKS365, with Playtech and Flutter also reportedly showing interest.
Lottomatica reported a surge in revenue and earnings in Q3 2023.
The deals with Gamma Intermediate and SKS365 follow a successful H1 for Lottomatica, which raised its full-year guidance.
Lottomatica expects revenue between €1.63bn to €1.69bn and adjusted EBITDA of €570m to €590m for the full year.
Details on Q4 and full-year reports have not yet been announced.
