Posted on: February 5, 2024, 03:56h.
Last updated on: February 5, 2024, 03:56h.
Allwyn Entertainment has officially become the new lottery operator in the UK, but it has confessed that it may not meet its donation targets to good causes in the early stages. This comes after the company won an $80 billion tender and faced legal challenges from other bidders.
The Czech company pledged to raise £38 billion over the next decade, but conceded that the timing for meeting those goals may change. Legal action from previous operators and losing bidders has delayed the transition and added financial strain to their operations.
Allwyn took over Camelot to expedite the complex transition process. Still, a report from the Financial Times suggests that the company might operate at a loss for a few years.
In addition to issues with charitable donations, the company also plans to dial back its intention to introduce new games and reduce the cost of lottery tickets in the face of dwindling sales. These issues raise questions about whether Allwyn’s takeover might have been based on a “false prospectus,” according to some public figures.