Lebanon Businessnews News

New bidding for Lotto operator
Income now $50 million per year
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The Ministry of Finance, through the Department of Tenders, called for a bidding to assign a new company for the management of the Lotto games. Bidders have till July 8th to present their offers.

La Libanaise des Jeux has been managing the Lotto games for the last 12 years.

Georges El Gharib, GM at La Libanaise Des Jeux (LLDJ), confirmed that the company’s current contract to manage and operate the Lebanese lottery (Lotto) is a week away from a new round of bidding. “I am aware of interest from international players, but to operate this important sector you need market experience, strong international backing and high tech equipment,” Gharib said.

In 2002, LLDJ had won the international tender. It modernized the  lottery industry with electronic equipment. It also expanded the games options, and the sales network. 

“When we took over, the previous lottery was generating LL 4.5 billion yearly ($3 million) in income for the government. We have multiplied that by more than fifteen to reach $50 million a year,” said Gharib. 

The bidding criteria follow a host of guidelines that regulate awarding prizes, paying retailers’ commissions, improving and expanding the gaming options and setting aside a percentage of sales as government revenues.  The current government share of gross total sales is 41percent.

“We have not been able to implement more strategies for the current lotto as we await clearer security and political developments,” Gharib said.

Tenders for the management and operation of the lottery are up for re-bidding every seven years. The current contract has been extended for various past security concerns.

LLDJ is subsidiary to JIG Holding, a family owned company established in Lebanon but now present in the MENA region, South America and Africa. It includes investments across several sectors. JIG Holding has been involved in the local lottery business since its founder Rainier Jreissati first introduced Tic-o-Tac or Loto Libanais in 1986.

Reported by Hadi Khatib
Date Posted: Jun 30, 2014
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