Latest news with #Sizekhaya
The Citizen
a day ago
- Business
- The Citizen
Minister appoints Ithuba Holdings to run national lottery for 12 months
Trade, Industry and Competition Minister Parks Tau has appointed Ithuba Holdings (RF) (Pty) Ltd as the temporary national lottery and sports pool operator for 12 months. This as the minister on Wednesday announced the successful conclusion and appointment of Sizekhaya Holdings (RF) (Pty) Ltd ('Sizekhaya') as the fourth national lottery and sports pools operator. However, Sizekhaya's appointment takes effect on June 1, 2026. 'Sizekhaya's appointment takes effect on June 1, 2026, and requires that there be transition from the third national lottery and sports pools operations to the fourth national lottery and sports pool licence operations. 'On advice of the National Lotteries Commission, I also authorised that a temporary licensee must be appointed in terms of section 13B of the Lotteries Act, 1997. 'I am pleased to report that I have concluded, on advice of the commission, successful negotiations with Ithuba Holdings (RF) (Pty) Ltd and have signed a temporary licence agreement for them to operate the National Lottery and Sports Pool for a period of 12 months with effect June 1, 2025,' said the minister in a statement on Saturday. The temporary licence will ensure the continuation of the lottery operations in the period the transition is required from the third to the fourth licence operations. In addition, the minister said he takes issue with the judgment of the High Court of May 21, which found that the Temporary Licence Request for Proposal (RFP) was not valid and has appealed this judgment. 'However, in its judgment of May 21, the court accepted that it is in the public interest that the National Lottery should continue to operate to raise revenues to fund worthy causes, notwithstanding that the court was not satisfied with the RFP process. Additionally, another court affirmed my power to appoint a temporary licensee in its judgment of May 30,' said Tau. It is in the context of both the May 21 and 30 judgments that the minister received and accepted the advice from the commission that he appoint a temporary licence operator on an urgent basis. 'I am pleased that the National Lottery operations will not be interrupted during transition from the third to [the] fourth licence operations and that worthy causes will continue to receive support,' said the minister. – Breaking news at your fingertips… Follow Caxton Network News on Facebook and join our WhatsApp channel. Nuus wat saakmaak. Volg Caxton Netwerk-nuus op Facebook en sluit aan by ons WhatsApp-kanaal. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
Eyewitness News
a day ago
- Business
- Eyewitness News
KZN businessman Tembe denies claims of 'cronyism' after Sizekhaya secures lottery licence
JOHANNESBURG - KwaZulu-Natal (KZN) business mogul, Moses Tembe has hit back at his detractors, denying claims of "cronyism" after his consortium won the highly sought-after national lottery licence. Tembe's Sizekhaya Holdings was recently announced as the fourth national lottery and sports pool licence holder, replacing Ithuba Holdings. This is one of government's most expensive tenders, worth about R200 billion over eight years. Following the announcement, the Economic Freedom Fighters (EFF) and Build One South Africa (BOSA) raised questions about the consortium's links with the African National Congress (ANC). ALSO READ: Some opposition parties want Minister Tau to publicly disclose details of Sizekhaya Holdings, National Lottery contract While one of the shareholders, Sandile Zungu, has demonstrated links with the biggest party in the Government of National Unity, there are no public links with Tembe. Tembe said that Sizekhaya won the lotto licence fair and square. "What won it for Sizekhaya was not the backhanders or cronyism as our detractors would claim, it was our promise to elevate the lottery to new heights, to generate more money for good causes." Tembe said that Sizekhaya promised to hand over its intellectual property to the government once its licence expired. This would allow government to run its lotto operations in-house. Sizekhaya's contract is only set to take effect next June after Ithuba was granted a temporary extension.
The Citizen
3 days ago
- Business
- The Citizen
No disruptions to lottery operations as temporary licensee appointed
Ithuba's licence ends today. There will be no disruptions to lottery operations as Trade, Industry and Competition Minister Parks Tau has appointed a temporary licensee. Tau announced on Saturday that he has concluded successful negotiations with Ithuba Holdings and signed a temporary licence agreement for them to operate the National Lottery and Sports Pool for a period of 12 months, effective from 1 June 2025. On 28 May 2025, Tau announced the successful conclusion and appointment of Sizekhaya Holdings (RF) (Pty) Ltd ('Sizekhaya') as the fourth National Lottery and Sports Pools operator. Ithuba's licence ends today. ALSO READ: Big change to Lotto operations: Will tickets be on sale next week? Eight applications to take over from Ithuba Holdings had been on the table. The licence will cover operations for all national games, as well as sports pool products. Sizekhaya's appointment takes effect on 1 June 2026 and requires a transition from the third National Lottery and Sports Pools operations to the fourth National Lottery and Sports Pools Licence operations, said Tau. 'On advice of the National Lotteries Commission, I also authorised that a temporary licensee must be appointed in terms of section 13B of the Lotteries Act, 1997. The temporary licence will ensure the continuation of the operations in the period that the transition is required from the third to the fourth licence operations,' said Tau on Saturday. 'I am pleased that the National Lottery operations will not be interrupted during the transition from third to fourth licence operations and that worthy causes will continue to receive support.' Outgoing lottery operator Ithuba disappointed Following the minister's announcement of the new operator, Ithuba said they were 'deeply disappointed' that the department would negate their contribution to the country's lottery infrastructure. ALSO READ: You may not be able to get a Lotto ticket after today 'As a fully South African-owned and black-empowered operator, Ithuba Lottery has invested significantly in developing the first African central lottery system, owned and developed for Africa by South Africans,' stated the outgoing operator. 'This decision disregards the progress made in building a truly home-grown lottery ecosystem that empowers small businesses, drives local job creation, and channels maximum revenue to good causes,' it added. Ithuba's legal team will consider the legal implications of the decision before deciding on a way forward. NOW READ: SIU is not done with NLC yet, as more corruption allegations emerge Additional reporting by Jarryd Westerdale
Daily Maverick
5 days ago
- Business
- Daily Maverick
After the Bell: Why we shouldn't have a national lottery
The main reason we have a national lottery in the first place is that it is supposed to be a good way to finance public goods, a way of getting money to finance things our society should have. But we know that this did not happen while the previous board of the National Lotteries Commission was in charge. Instead, they spent it on their friends and, in some cases, themselves. Sometimes something becomes so much a fact of life that it is easy to forget to question it. I was thinking about that yesterday when the Stock Exchange News Service published an update from Goldrush. It has, quite literally, won the National Lottery. Sizekhaya has been awarded the licence to operate the Fourth National Lottery and Sports Pools for South Africa for eight years, with the licence kicking in on or before 1 June next year. Goldrush is a 50% shareholder in Sizekhaya. Sizekhaya, the official name of the consortium, will make a huge amount of money as a result. The entire company, and those who own it, will change dramatically now. At the same time, given that the stakes involved are so high, it was always inevitable that the losing bidder would go to court. And while Ithuba, the former operator, has not said it will do that yet, it has muttered about consulting its legal team on the decision. I do wonder if the minister who had to make this decision – Parks Tau at the Department of Trade, Industry and Competition – might regret one part of his public statement on this. He suggested that it was a 'difficult' decision. At some point, one of the parties might well ask for the record of the decision, and ask him what made it quite so difficult. Considering that the smell of politics was around this entire process almost from the beginning, he might well be asked if it was technically difficult, or politically difficult. But I think this obscures a much more important question. I don't think we should have a national lottery. I think it does us harm as a society. Firstly, so many people spend so much money on it and receive nothing in return. Let me be clear, the chances of winning the main payout are literally nothing. Not mathematically nothing. One in over 20 million to be more precise. But in real life, that's nothing. And look at who is losing their money; so often it's people who desperately need all the money they have. Funnily enough, even most of the people who do win actually don't end up having better lives as a result. Both here and in places such as the UK, the stories of people who win the lottery involve the end of marriages, families and, in some cases, whole communities. The main reason we have a national lottery in the first place is that it is supposed to be a good way to finance public goods, a way of getting money to finance things our society should have. But thanks to the incredibly courageous journalism of Raymond Joseph (who has won multiple awards for his work), we know that this did not happen while the previous board of the National Lotteries Commission was in charge. Instead, they spent it on their friends and, in some cases, themselves. The first bad sign was when the National Lotteries Commission decided that instead of people applying for lottery funding, they would literally go and find organisations and give them money. You don't need a picture book to know what happened next. And it was so brazen. I remember asking the Chief Operating Officer at the time, Philemon Ledwaba, how he could justify his organisation giving money to a group run by his wife. It was on live TV. And he showed a complete lack of conscience about it. It was literally extraordinary. Now, I'm sure defenders of the national lottery will say safeguards can be put in place to stop this from happening again. And no one can say anything negative about the people who currently run the National Lotteries Commission, they're top people and they're trying to clean it up. But the chances of it happening again are, I would suggest, a lot higher than one in 20 million. In fact, given what happens around us so often, I would almost put money on it happening again in the next 15 years. However, I don't think that's the strongest argument against a lottery. I think the strongest argument against it is that it legitimises gambling. Now, I'm lucky, gambling has no interest for me. Once, Sun City gave me some gambling chips as a teenager — they could only be used in the casino and could not be exchanged directly for cash. Being boring, I didn't gamble with them. Instead, I put half on the red and half on the black at the (non-Russian) roulette table. That meant I ended up with what I started with. But in chips that could be exchanged for cash, and off I went. I know for some people, I think many people, it's not like that. They love gambling, the thrill of it, the (mathematically tiny) chance that their lives could suddenly change. We are seeing this happening now in the incredible rise of online gambling. I have no doubt that this will lead to more poverty, the ruin of more families and, even perhaps, some awful suicides.
IOL News
5 days ago
- Business
- IOL News
Sizekhaya Holdings outlines its vision for the national lottery
Sizekhaya Holdings has been confirmed as the fourth national lottery licence operator, promising to enhance local participation and uplift communities through its empowerment initiatives. Image: Supplied Sizekhaya Holdings says it is in the process of setting up its structures and putting in place the necessary infrastructure following its confirmation as the fourth lottery licence operator. In a statement on Thursday, the consortium said it was delighted to be awarded the fourth national lottery licence. It explained that the Sizekhaya consortium consists of a variety of shareholders and a management team that have experience in business and gaming along with operational experience. "The Sizekhaya consortium is backed by the Goldrush Group, a JSE-listed company renowned for its extensive experience in gaming and online betting. Goldrush holds a 50% stake in Sizekhaya Holdings, ensuring a robust foundation for the consortium's operations. Over and above this, some of the other shareholders include Bellamont Gaming (of which Moses Tembe is a director) and Sandile Zungu, who bring a wealth of business expertise. "Sizekhaya's broad-based empowerment scheme encompasses 40% new black entrants, including a grouping of young black professional women. The Sizekhaya Foundation NPC will hold six percent of the issued share capital, which is 200% of the target for ownership through broad-based schemes." Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading It said that its team had extensive experience in gaming in South Africa, cutting-edge game design, a strong technology partner, optimised localisation, expanded broad-based economic empowerment and a commitment to increase ticket sales to create a winning combination. Sizekhaya said its technical partner is China's Genlot, the technology partner for the largest lottery operator in the world. "Genlot has formed a local 51% BEE-held technology company which will supply lottery and technology products and services at competitive rates while also ensuring that local skills are developed. In total, Sizekhaya boasts a local content ratio of 96.16%, ensuring that for the first time in its history the National Lottery is truly local." Tembe said: 'South Africa has hit the jackpot with Sizekhaya. Our vast experience in gaming in the country along with the brains trust we have assembled driven by the collective vision of creating a more enhanced national lottery for good causes, will grow the lottery so more good causes benefit. 'Our choice of technical partner was deliberate as well as we were determined to minimise the amount of foreign exchange that leaves the country."
