Allwyn (ALWN) CMD 2025 summary

Strategic vision, rationale, and transaction overview

• The combination creates the world’s second-largest listed lottery and gaming operator by EBITDA, with a diversified, multi-national platform across lottery, iGaming, sports betting, and casual gaming.

• OPAP shareholders benefit from enhanced scale, diversification, access to proprietary technology, and double-digit accretion to adjusted EPS and free cash flow per share in the first year post-completion.

• The transaction enables access to public equity markets, simplifies group structure, and aligns interests between OPAP and Allwyn shareholders, with the new entity listed on the Athens Stock Exchange.

• The deal includes the acquisition of Novibet and PrizePicks, with closing expected in Q2 2026, subject to regulatory and antitrust approvals.

• Minimum annual dividend of EUR 1 per share from FY2026, with potential for special dividends and buybacks, and a target net leverage of ~2.5x.

Growth strategy, business model, and financial guidance

• Organic growth is driven by product innovation, digital expansion, and omnichannel experiences, while inorganic growth targets strategic bolt-ons in technology, content, and new markets.

• Proprietary technology and content, including AI initiatives, underpin faster innovation and differentiation across markets.

• Unified brand strategy and operational efficiency are achieved through a single-brand approach, maximizing cost efficiencies and global recognition.

• Financial guidance projects mid-20s net revenue growth in 2026 (boosted by acquisitions), low double-digit medium-term growth, and margin expansion to 40%+; margins expected to reach ~37% with further expansion possible.

• Strong cash flow generation supports continued investment, M&A, and robust shareholder returns, with over €3.3bn distributed since 2019.

Market positioning and operational highlights

• Market leadership in seven lottery markets, #1 positions in Daily Fantasy Sports and e-Instants in the US, and rapid expansion in high-growth regions such as Brazil and North America.

• Betano and PrizePicks provide exposure to fast-growing online sports betting and DFS segments, with Betano holding the #1 position in Brazil and PrizePicks leading the US DFS market.

• U.K. operations are undergoing early-stage transformation with major tech upgrades and a focus on digital transition for future growth.

• Responsible gaming and social contributions are integral, with industry certifications and significant community investments.

• Experienced management and board with a proven track record of delivering on strategy and outperforming financial guidance.