Lottomatica shares jump 7% as Cirsa deal adds up to €300 mln online EBITDA

Investing.com -- Lottomatica Group SpA climbed more than 7% on Monday, following the Milan-listed gambling operator's announcement that it anticipates €200 million to €300 million in additional online earnings before interest, taxes, depreciation, and amortization on a run-rate basis by the third year after completing its purchase of Spanish casino operator Cirsa.

The company released further details regarding Cirsa's operations in the Spanish and "Rest of World" markets on September 7, subsequent to its initial disclosure of the transaction on September 2.

Lottomatica stated that it chose to supply this additional information "in response to the significant interest received from investors and analysts in recent days."

According to the company, the incremental online earnings target reflects the opportunity to leverage Lottomatica's proprietary technology, product capabilities, and omnichannel proficiency, while combining these strengths with Cirsa's established footprint, customer base, and local market presence in high-growth regions to accelerate the combined entity's online expansion.

Lottomatica emphasized that the €200 million to €300 million projection is excluded from the previously announced synergies tied to the transaction.