Allwyn has finalised its merger with Greek gaming firm OPAP, solidifying its position as one of the world’s largest publicly listed gambling companies in the process.
The company secured terms to merge with OPAP back in October. The Czech investment group behind Allwyn, KKCG, has been a major shareholder in OPAP since 2013.
By merging with OPAP, Allwyn will list on the Athens Stock Exchange and effectively become one of the biggest operators in the Greek market. OPAP is the operator of the Greek national lottery, and is also a major betting and gaming company in the country.
The merger sees a continuation of Allwyn’s diversification strategy, beginning with its rebranding from SAZKA Group back in 2022. The company has been transitioning to a model of being a lottery-led entertainment business, with stakes across other sectors.
Allwyn believes that the OPAP merger will afford it a market-leading position, a greater geographic and product diversification, greater capabilities across technology, content, and digital platforms, a stronger and more resilient financial profile, and an improved focus on responsible gaming and returns to good causes.
Robert Chvatal, Allwyn CEO, said: “This is a major strategic milestone for Allwyn, and we start our journey as a publicly listed global leader with a strengthened platform, enhanced financial flexibility and a world-class team.
“We are very confident that our leading market positions, high degree of diversification, and strong cash generation position us well to drive sustainable growth and continued value creation as we invest in innovation and future opportunities across our markets.
“I would like to thank our shareholders, employees and regulators for their support as we bring together two best‑in‑class organisations to create the second‑largest listed lottery and gaming operator globally.”
Allwyn’s road to Athens
Lottery remains Allwyn’s bread-and-butter, with core assets including the UK National Lottery, the Czech Lottery, the Greek lottery (via OPAP) and the Illinois State Lottery, to name a few examples.
The firm’s reach in sports betting has been enabled via KKCG’s stake in OPAP. The firm significantly expanded its reach in other areas of sports entertainment last year via the majority acquisition of PrizePicks, a US daily fantasy sports (DFS) provider which has since entered the prediction markets space.
Not all of Allwyn’s attempted endeavours have come to fruition. The firm planned to take a controlling stake in Novibet, a major Greek betting firm, but both parties opted to call off the takeover earlier this year after receiving feedback from the Hellenic Competition Commission (HGC).
Despite this setback, Allwyn remains on a stable footing – and with the OPAP merger now complete, it is unlikely to be overly fazed by the Novibet M&A falling through.
The combined Allwyn-OPAP entity has a market cap of over $5bn (£3.7bn), putting it in the same bracket as Ladbrokes Coral and bwin owner Entain (also around £3.7bn) and Flutter Entertainment (around £8bn).
KKCG will hold voting rights of 75.1% in the combined business. Allwyn has also expressed its intention to distribute €0.80 (£0.69) per share to its shareholders.
Karel Komarek, Founder and Chair of both KKCG and Allwyn, said: “Today, Allwyn moves into a new chapter – one that builds on the momentum that already characterises our business.
“Over the past 13 years, we’ve shown the significant and sustainable value we create for shareholders, for society, and through the experiences we deliver to players. That progress has been grounded in partnership, trust, and a genuine commitment to innovation.
“Allwyn has exceptional potential in the rapidly evolving world of consumer entertainment, and we have the strategic clarity, scale, capabilities and ambition to define the future of the industry.”