Jumbo Interactive (ASX:JIN) - CEO, Mike Veverka
CEO, Mike Veverka
Source: Jumbo Interactive
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • ASX 200 lottery manager Jumbo Interactive (JIN) has announced an agreement with WA Government-owned and operated Lotterywest
  • The 10-year deal was signed through Jumbo’s subsidiary, TMS Global Services, and marks its first partnership with a government client
  • The lottery company will provide its online software platform and services to Lotterywest and its customers
  • In return, Jumbo will receive a 9.5 per cent service fee for every transaction through a white-label platform
  • Lotterywest can also choose to transition white label players to its website and app 12 months from the ‘go-live’ date, which is expected in late December
  • Jumbo’s shares have gained 6.32 per cent on the back of this news, trading for $13.62

Jumbo Interactive’s (JIN) subsidiary, TMS Global Services, has signed an agreement with WA Government-owned and operated, Lotterywest.

Under the deal, TMS will provide its online software platform and services for up to 10 years.

Jumbo Interactive is a leading Australian digital lottery retailer, with its main flagship service being Oz Lotteries.

Through its business-to-business (B2B) and software-as-a-solution (SaaS) platforms, the ASX 200-lister aims to create an engaging and entertaining customer experience.

“I am pleased that the Lotterywest Agreement has now been signed on time and on terms as anticipated,” Jumbo CEO Mike Veverka said.

“This is a major achievement for Jumbo securing our first government client setting up a solid long-term partnership and providing strategic opportunities for Jumbo,” Mike added.

Under the deal, Jumbo will receive a 9.5 per cent service fee for every transaction through a white-label platform. In return, it will provide the software platform and associated operation with technical and customer support.

While the agreement is for up to 10 years, the initial term covers three years with the option to extend for a further three years, and then four years thereafter. The option to extend is solely up to Lotterywest.

Under the deal, Lotterywest will oversee the marketing strategy for lottery players, while Jumbo will manage customer support on the white label platform.

Additionally, Lotterywest has the option to transition white label players to its own website and app 12 months from the ‘go-live’ date, which is expected in late December.

Jumbo’s shares have gained 6.32 per cent on the back of this news, trading for $13.62 at 10:16 am AEDT.

JIN by the numbers
More From The Market Herald
Fortescue Metals Group (ASX:FMG) - Departing CEO, Elizabeth Gaines

" Fortescue Metals (ASX:FMG) records highest number of half-year shipments

Fortescue Metals (ASX:FMG) records its highest number of shipments for a half year at 93.1 million…
Zip CO (ASX:Z1P) - CEO, Larry Diamond

" Zip Co (ASX:Z1P) confirms potential acquisition of Sezzle (ASX:SZL)

Buy now, pay later company Zip Co (ASX:Z1P) confirms it is looking to buy Sezzle (SZL),…

" Fortescue (ASX:FMG) to buy Williams Advanced Engineering for $310m

Fortescue Metals Group (ASX:FMG) plans to acquire technology and engineering services firm Williams Advanced Engineering (WAE)…

" Northern Star Resources (ASX:NST) spikes on December quarter gold sales

Shares in gold mining big-cap Northern Star Resources (ASX:NST) have risen in early action following the…