Zeal Network, London-listed lottery brokerage has resumed controlling its previous subsidiary Tipp24 and added the business to its German secondary lottery arm.
About 10 years ago, Zeal initially launched the Tipp24 secondary lottery operation from the UK, due to a censor on brokering online lotteries in Germany at the time, but the brand is now able to serve the German market.
Tipp24 will broker tickets for customers directly to German state lotteries, as an official partner of the German Association of State Lottery Companies (DLTB).
Zeal set out plans to retake control of Tipp24 upon closing the acquisition of its former subsidiary Lotto24 via an all-share public takeover in May this year. The brokerage is also seeking to reclaim control of myLotto24 and transform its German secondary lottery business into a locally licensed digital lottery broker, with the idea of building on Lotto24’s position in the German market.
Zeal chief executive Helmut Becker said:
“We have fully implemented what we announced; as of today, Lotto24 and Tipp24 are reunited in the German brokerage business. We would like to thank the state lotteries and supervisory authorities for their trust and are convinced that we can lead the German lottery safely into the digital future as a partner of the state lottery companies.”
Zeal said, it now generates income without any bookmaking risk of its own, as part of the brokerage activities of the Lotto24.de, Tipp24.com and Tipp24.de brands. Customer attainments are pledged by the government and paid out by the government lotteries.
Zeal acknowledged shareholders have voted to relocate its registered office from the UK back to Germany, in September. The vote at a General Meeting last month passed with a bulk of 99.9%, with the relocation due to go ahead before the end of October.
Zeal said the intention of the relocation is to expedite the integration of the Zeal and Lotto24 divisions, as well as leverage the expected cost synergies.