cientific Games Corporation today announced that Lotterie Nazionali LLC -a joint venture including the manager of Gratta e Vinci -the Italian Scratch and Win concession owned by Scientific Games-, IGT subsidiary Lottomatica Holding and Arianna 2001- has accepted a nine-year contract extension for the Italian Scratch and Win concession. The consortium will be required to pay an upfront fee of USD 950 million in three installments. The first installment of USD 59 million will be paid by December 15, 2017; payments of the second installment of USD 350 million and third installment of USD 535 million are expected to be made in April 2018 and October 2018, respectively. The payments are expected to be funded by the joint venture partners and pro-rated based on their respective ownership percentage.
Scientific Games owns a 20 percent interest in Lotterie Nazionali LLC -the world's largest instant ticket lottery- which will continue to serve as the primary instant game provider for the term of the extension.