Czech lottery and betting giant Sazka Group has acquired a majority stake in Casinos Austria as the Novomatic Group tries to extricate itself from a growing political scandal.
On Tuesday, Sazka informed investors that it had reached a deal to acquire Novomatic AG’s 17.19% stake in Casinos Austria. Sazka already had a 38% stake in Casinos Austria, so if shareholders, gaming regulators and the Austrian government – which holds 33% of Casinos Austria – have no objection, Sazka will now hold a controlling stake in the company.
Terms of the deal weren’t disclosed, but it will reduce Novomatic’s stake in Casinos Austria to nil. However, Novomatic will reportedly hang on to its 11% stake in Casinos Austria’s lottery subsidiary Österreichische Lotterien, which currently holds a local online gambling monopoly via its Win2Day brand.
Despite the sale, Novomatic will likely still be preoccupied with the Austrian firm for a while to come. In late-November, Austrian legislators began the process of probing a growing political patronage scandal that local media have dubbed the Casino Affair.