Ithuba Lottery considers legal action after Sizekhaya Holdings awarded National Lottery licence
iol Ithuba Lottery is contemplating legal action following Sizekhaya Holdings' recent award of the Fourth National Lottery and Sports Pools Licence
Image: File
Ithuba Lottery says its legal team is considering taking legal action after Sizekhaya Holdings was on Wednesday awarded the Fourth National Lottery and Sports Pools Licence.
Effectively, Sizekhaya takes over from Ithuba, who managed the lottery from 2015.
"We are expectably deeply disappointed by the recent decision made by the Minister of Department of Trade, Industry and Competition (DTIC) and the National Lotteries Commission (NLC). We believe that this decision undermines the principles of localisation and inclusive economic growth set out in the Request for Proposal," Ithuba said in a statement.
It said it has "invested significantly in developing the first African Central Lottery System, owned and developed for Africa by South Africans."
Ithuba argued that it has, at its disposal, the necessary infrastructure, financial resources and distribution systems capable of delivering a seamless, secure, and uninterrupted National Lottery.
"Our game portfolio is locally developed, our operational model prioritises economic inclusion, and our reach extends across urban and rural communities, ensuring accessibility for all South Africans from day one.
"This decision disregards the progress made in building a truly home-grown lottery eco-system that empowers small businesses, drives local job creation, and channels maximum revenue to good causes," Ithuba said.
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[ANNOUNCEMENT] : THE MINISTER OF TRADE, INDUSTRY AND COMPETITION ANNOUNCES THE AWARD OF THE 4TH NATIONAL LOTTERY AND SPORTS POOL LICENSE. pic.twitter.com/BQinvxJgxi — Parks Tau (@TauParks) May 28, 2025
Sizekhaya Holdings' victory is tempered by the undercurrent of legal challenges, as the licensing process has already attracted scrutiny leading to a judgment by the High Court.
The DTIC indicated that legal advice is being sought to appeal the ruling, underscoring the complexities entwined in this process. Minister Parks Tau also expressed his commitment to uphold all rights concerning the court's findings, while reiterating his promise to the bidders involved.
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