PERTH: Jumbo Interactive Limited’s subsidiary TMS Global Services has signed a binding Term Sheet with Lotterywest, the WA state government-owned and operated lottery of Western Australia, to negotiate and enter into a detailed Agreement to provide its online software platform and services for up to the next 10 years.
Jumbo will provide a “Powered by Jumbo” software platform to Lotterywest “White Labelled” with Lotterywest branding. This will allow current Jumbo Western Australian online players (circa $33 million TTV for FY20) to opt to continue playing online on a platform they are accustomed to, directly through Lotterywest.
Jumbo and Lotterywest are working to complete the software integration by 21 December 2020 to allow tickets to be purchased directly from Lotterywest’s gaming system in real-time. The binding Term Sheet outlines the main commercial and operational terms between Jumbo and Lotterywest, which is subject to the parties entering into a detailed Agreement expected to be completed in the coming months.
In 2000, Jumbo sold its first lottery ticket on the internet and witnessed a dramatic rise in popularity due to the convenience of buying tickets online. The Company operates the popular website www.ozlotteries.com in Australia under agreements with Tabcorp (ASX: TAH) that date back to 2005.
Over the years Jumbo has grown a large and loyal database of predominately younger customers attracted to the Jumbo innovations. These include Lotto Party which promotes social group play, iPhone/Android Apps and Google voice. In addition, Jumbo has grown a wide range of lottery games that include popular charity lotteries that also appeal to younger demographics.
Since entering the Lottery SaaS (Software as a Service) market with the signing of its first customer in November 2018, Jumbo has built momentum in the charity lottery segment with a significant TAM (Total Addressable Market) largely underserviced by optimised technology solutions. In December 2019 Jumbo entered the UK market with an acquisition of Gatherwell Limited and has embarked on a “$1 Billion vision” to reach $1 Billion in ticket sales on the Jumbo platform by FY2022.