Lottomatica and Cirsa have announced a significant merger poised to create the second-largest publicly traded gaming and sports betting operator worldwide. This all-share transaction was revealed on Wednesday and is anticipated to finalize in the second quarter of 2027, resulting in a newly formed entity with a pro forma adjusted EBITDA of approximately €2 billion ($2.3 billion).
Cirsa is expected to have an implied pro forma value that corresponds to about six times its projected EV/EBITDA for 2026, estimated to range between €800 million and €820 million based on the company's latest earnings report.
According to their joint statement, the merged company will hold prominent market positions in Italy and Spain, and plans to be listed on both the Milan and Spanish stock exchanges. The newly formed group is forecasted to encompass an addressable market up to €34 billion, covering its operations across Portugal, Mexico, and Colombia.
Lottomatica's strengths in online and omnichannel offerings are likely to enhance Cirsa's expansion within the online gaming sector. Lottomatica’s chairman and CEO, Guglielmo Angelozzi, highlighted that this partnership would create a more diversified entity with notable growth potential, stating, "With the combination of Lottomatica and Cirsa, two extremely successful companies, we create the undisputed leader in Italy and Spain, among the best gaming markets globally, complemented by leadership positions in other very high growth geographies."
Cirsa’s CEO, Antonio Hostench, expressed enthusiasm about the merger, remarking, "I am delighted to embark on this exciting journey together. The combination of Cirsa and Lottomatica creates a world-class diversified gaming leader with leading positions across its core markets and significant opportunities to accelerate profitable growth."
Under the merger agreement, Lottomatica will absorb Cirsa through an EU cross-border statutory merger, maintaining Lottomatica as the surviving entity. Post-merger, current Lottomatica shareholders are expected to hold about 67.5% of the share capital, while Cirsa shareholders will own approximately 32.5%. Cirsa shareholders will receive 0.668 newly issued Lottomatica shares for each share they hold in Cirsa.
Blackstone, Cirsa's major shareholder, is projected to become the largest stakeholder in the combined entity with around 24% of the share capital. The deal is also expected to generate about €115 million in pre-tax annual synergies from operational and interest savings, achievable within three years post-completion.
Leadership for the combined group is already set, with Angelozzi slated to be both chairman and CEO. Laurence Van Lancker, Lottomatica’s deputy CEO and CFO, will also take on the same roles after the merger. Hostench and Cirsa’s CFO, Antonio Grau, will continue to manage their respective teams.
If approved at Lottomatica's general shareholders’ meeting, the new board will comprise the existing 11 directors from Lottomatica, along with two additional directors appointed by Blackstone.
Presentations from both companies projected a vision of creating a "global gaming champion." Lottomatica reported revenues of €2.26 billion for the fiscal year 2025, while Cirsa's revenues for the same period reached €2.34 billion. This merger would position the combined company above competitors like Bally’s Intralot, Entain, and Allwyn, establishing it as the second-largest listed global operator, behind only Flutter Entertainment when ranked by adjusted EBITDA.
The merged company is expected to derive 80% of its EBITDA from operations in Italy and Spain, with 97% coming from markets where it holds a leading position. Online sports betting is anticipated to contribute 48% of EBITDA, with distributed gaming and casinos accounting for 27% and 25%, respectively. Van Lancker stated that the merger would integrate the strengths of both organizations to create a larger, more diversified firm that can accelerate growth and generate additional value. The enlarged entity could deliver up to €4 billion in capital returns over the three years following the merger's completion.
Cirsa has been on an aggressive acquisition path, recently expanding into the land-based casino market in Portugal through acquiring a majority stake in Sociedade Figueira Praia, S.A., the operator of Casino Figueira. Earlier, Cirsa entered Paraguay by acquiring Slots del Sol, an online slots operator, and made a notable acquisition of the leading Peruvian operator Apuesta Total in 2024. As of June 2025, Cirsa has completed over 130 acquisitions since 2015, marking its rapid growth strategy.
