SBC News Voice of the Sports Betting Industry
Sizekhaya Holdings has been named as the operator of South Africa’s Sports Pools and National Lottery.
The company emerged as the winner from a total of eight bidders in the tender, which were examined by Parks Tau, Minister of Trade, Industry and Competition.
Tau’s choosing of Sizekhaya Holdings was most likely the result of a comprehensive review of the company’s financial statements, compliance policies and long-term operational strategies, given that it will run the licence in the next eight years.
Led by Chairman Moses Tembe, Sizekhaya Holdings will now manage all aspects of South Africa’s National Lottery and sports pool games, including ticket pricing, driving sales, and allocating proceeds for social initiatives.
Sizekhaya will also need to ensure a smooth transition process as it takes over from the previous license operator, Ithuba Holdings, the long-term operator of the pools and national lottery – and which has been embroiled in controversy and speculation in recent months due to allegations that the company holds close ties to government officials.
Minister Tau was given an ultimatum by the Pretoria High Court to announce the winning bidder by the end of May. This came after concerns emerged that the process was deliberately being stalled in favour of Ithuba’s commercial interests.
Ithuba Holdings first took over the licence in 2015, with its tenure lasting an unprecedented 10 years after being granted an extension by Tau’s predecessor in 2023.
This was backed by South Africa’s National Lottery Commission (NLC) itself, which argued that Ithuba should retain its licences for a further two years to recoup the losses caused by the crippling economic downturn during the COVID-19 pandemic.
Adding to Sizekhaya’s awarding of the license, Tau concluded: “This ends a long and difficult process of evaluating eight applications for the fourth licence. I appreciate that this has been an enormous and complex endeavour.
“I wish to thank the Board and staff of the NLC and all those who were involved in this arduous exercise.”
