Online Lottery Provider Lottoland Eyes £1 Billion LSE Listing

There is much bustle in the online gambling sphere of late. According to the stats and projections, it’s a great moment to have a piece of the pie in the online betting and casino gaming markets right now. While land-based gambling has been dealt a harsh hand by the COVID-19 pandemic, gamblers have moved into the digital realms to get their betting done.

In what some perceive as a chance to strike while the proverbial iron is hot, the independent Gibraltar-based online gambling company, Lottoland, is eyeing a stock listing on a London-based exchange with a valuation of around £1 billion. This may not be an unreasonable ask, given its lucrative £300 million annual revenue posting in 2019. It has also surpassed the spectacular milestone of 10 million registered users.

Craps Playing the Long Game

The lotto giant is reportedly working with Peel Hunt investment bankers as its strategic financial advisory. The brokers will help strategise a seamless transition into the realms of public business. A possible strategy could see Lottoland advance with an IPO through a combined merger with a Special Purpose Acquisition Vehicle (SPAC), which is a popular move in the gaming industry.

While synthetic lottery betting may be a controversial practice in gambling circles, the business is booming on the international stage. Lottoland has proven its point when it comes to the provision of ethical and legitimate services too. It has just recently secured an ISO 27001 certification from the International Standards Organisation.

The company CEO, Nigel Birrell said:

“We are really pleased to have been awarded our ISO 27001 certificate. It shows how seriously we take our commitment and investment in regards to training, processes, and systems, to ensure that we securely manage all of our data.”

The London listing could be the next big feather in the cap of this budding gambling business, a move that will surely amplify the level of prestige and status that this company holds.

More Details Why List on the LSE?

There are some great merits and benefits to companies listing on the stock market, especially within the context of the online gambling business right now. The perceived benefits and advantages for Lottoland include:

A grander level of prestige, especially when listed on one of the world’s oldest and most prestigious stock exchanges. Stocks listed in New York, Amsterdam, and London seem to carry some positive clout.
Not only is the wealth of the business shared amongst shareholders but so is the risk. It eases much of the pressure on the current business owner from a financial point of view.
Investors can buy shares in the company, providing a great way to raise funds and expand the business.
The company can reap the benefits of positive market movements. At the moment, the online gambling market is a hot industry that is performing extremely well in the midst of a ‘socially distanced’ world. This drives the stock price of casinos and gambling businesses through the roof, as everyone wants a piece of the action and is willing to pay the higher stock prices with the hope that they will climb even further.

Of course, there is also great risk involved. Market volatility can always negatively influence the share price. Fortunately, the online gambling industry is in a favourable spot right now, providing the perfect climate for Lottoland to climb on board and capitalise.