National Sports Lottery Plc (NSL) has signed an agreement with GTECH Global Services Corporation Limited (GTECH) to implement a National Online Lottery in Nigeria.
Under the agreement which was signed in Providence, Rhode Island in the United States of America, GTECH will replace NSL’s existing central systems for the operation of its lottery games with a new GTECH central system and will assist NSL in the transition from its existing systems to the new system. GTECH will also provide other related technical, marketing, and commercial support services for the duration of NSL’s license, which runs through December 18, 2016.
The NSL’s license, and GTECH’s agreement with the NSL, may both be extended for an additional 10-year term. GTECH expects to receive revenues of approximately US$38 million over the base eight-year agreement, commencing in the third quarter of 2009.
Jaymin B. Patel, President, GTECH who spoke at the signing ceremony said the Nigerian market has, for quite a long time, been very attractive to GTECH. Being one of the most populous and fastest-developing economies in Africa and occupying a strategic position in the West African sub-region, Nigeria provides an opportunity to realize yet another shared vision of a positive linkage of our technology and services with sound local capacity, knowledge, and expertise.
He stressed that GTECH is particularly excited about the foray into Nigeria’s unique new market which will serve as a springboard into wider African markets. Petel applauded the achievements made so far by NSL and stated that his company is committed to complementing all the initiatives made which in the shortest possible time will make the Nigerian operation a model to be followed in the international lottery sector.
Mr. Odunlami Kola-Daisi, chief executive officer, NSL, said the company has worked relentlessly to get to this stage. And that they have always recognized and appreciated the value of GTECH’s leadership and success in the international lottery sector, which will enable them to provide Nigerians with, a world-class lottery operation that will meet the expectations of all stakeholders in the Nigerian National Lottery Project.
‘’We look forward to deriving full benefits of state-of-the-art technology and lottery best practices from GTECH. Their technology and talent transfer will immensely benefit Nigerians who are more or less a new entrant into the lottery world, making them experts in their own right. This is a partnership that will forever change the landscape of electronic transaction processing in Nigeria,” he said.
Under the terms of the agreement, NSL’s current 15,000 terminals will be connected to GTECH’s new central system. An additional 10,000 terminals are expected to be installed before the end of 2009. Moreover, GTECH Printing Corporation will be the exclusive provider of instant-ticket printing during the 12 months following the launch of the new system, which is expected to occur in July 2009.
GTECH will maintain a data center in Lagos, and will provide additional services such as the design and marketing of Lotto and Instant games, as well as implementing a comprehensive marketing plan, including market research, advertising, and retail network optimization.
NSL, a company listed on the Nigerian Stock Exchange holds a 15-year license, which commenced in 2001, to operate Nigeria’s National Lottery. The license may be renewed for an additional 10 years beyond 2016. Currently deploying its 15,000 terminals nationwide, and with current staff strength of 200 employees, NSL hopes that with the newly-signed agreement with GTECH, it is able to provide world-class, full complement of lottery services and best practices to the West African country with an estimated population of 150 million.
GTECH is a leading gaming technology and services company. With 6,200 people in over 50 countries, GTECH provides innovative technology, creative content, and superior service delivery to effectively manage and grow today’s evolving gaming markets. GTECH is a wholly-owned subsidiary of Lottomatica, one of the world’s largest commercial lottery operators and a market leader in the Italian gaming industry.