Italian gaming and sports betting operator Lottomatica said it will acquire Spanish rival Cirsa in an all-share deal valuing the combined company at about €4 billion, creating the second-largest listed operator globally by market presence.
Under the terms, Cirsa shareholders will receive 0.668 new Lottomatica shares for each Cirsa share held, giving Lottomatica’s existing investors a 67.5% stake in the merged entity. U.S. private equity firm Blackstone, Cirsa’s controlling shareholder, will hold approximately 24% of the combined company, making it the largest single shareholder.
The merged company will retain the Lottomatica name and be listed on Euronext Milan and Spanish stock exchanges. Operations will be headquartered in Rome, with a secondary hub in Barcelona to maintain Cirsa’s Spanish business footprint. Cirsa will be fully absorbed into Lottomatica upon completion.
Before the merger takes effect, Cirsa will distribute an extraordinary dividend of €262 million, equivalent to €1.56 per share. The combined group expects to generate €115 million in pre-tax cash synergies annually by the third full year post-merger. Over the three years following completion, the company plans to return up to €4 billion to shareholders through dividends and share buybacks.
Guglielmo Angelozzi, current chairman and CEO of Lottomatica, will remain in those roles for the merged entity. The board will expand to 13 members, adding two new directors nominated by Blackstone to the existing 11 from Lottomatica.
