Jumbo Interactive Limited (Jumbo) has entered the European market through its recent acquisition of UK-based company Gatherwell. Established in 2013, Gatherwell provides a fully customised lottery solution for charities, local authorities, schools and community groups of all sizes.
Jumbo was founded in 1995, listed in Australia in 1999 (ASX: JIN) and has since become a leading retailer of lottery tickets via digital platforms for both official Government and charity lotteries. Through Jumbo’s online platforms consumers can purchase lottery tickets for OzLotto, Powerball, Surf Life Saving Lotteries and Mater Prize Home, to name a few.
The Gatherwell acquisition supplements Jumbo’s significant organic growth in the last financial year, including:
Over 2 million customer accounts with an additional 444,000 new accounts in the 12-month period to 30 June 2019;
Involvement in 49 large jackpots with each jackpot worth $15+ million;
Significant increase in Jumbo’s share price - achieving a market capitalisation of $1.25 billion; and
Inclusion in the ASX300.
This year also saw the extension of Jumbo’s market offering through providing Software as a Service (SaaS) and the establishment of Powered by Jumbo; a licensed software platform for lotteries around the globe.
With only 7% of lottery tickets sold online1, it is evident there is opportunity for growth. An opportunity which Jumbo has put their full weight behind.
Gatherwell currently sells 130,000 lottery tickets per week and is predicted to generate $6.2 million in ticket sales by 30 June 2020. The acquisition of Gatherwell aligns with Jumbo’s strategic expansion into SaaS and achieving their goal of $1 billion in ticket sales by the end of FY22.
HopgoodGanim has assisted Jumbo since its foundation with M&A Partner Michael Hansel and Senior Associate Christina Hooper, advising Jumbo on this recent acquisition and expansion into the UK. HopgoodGanim look forward to continuing their work with Jumbo Interactive Limited, as they continue their online and international expansion.
1 The WLA Global Lottery Data Compendium 2018; Jumbo Research.