São Paulo Auctions State Lottery for R$ 600 Million and Invests in Health

The São Paulo government auctioned the concession of state lottery services, with the Portuguese consortium Aposta Vencedora outbidding the Italian competitor with an offer of R$ 600 million, a 130.15% increase over the initial bid. Held on Friday (11/01), at the headquarters of the São Paulo Stock Exchange (B3), the auction is part of the Auction Marathon, which seeks new concessions and public-private partnerships for the state.

With the funds raised at the auction, the São Paulo government reached approximately R$ 25 billion in private investment projections, five times more than the initial estimate of R$ 5 billion. Governor Tarcísio de Freitas announced that the revenue will be directed toward building two new hospitals in the cities of Birigui and Itapetininga.

The concession project allows the Portuguese consortium to operate lottery services both physically and virtually, with up to 31 exclusive units and over 11,000 additional points of sale across São Paulo state. Additionally, the concessionaire will be responsible for operating the games and meeting contractual requirements, with the option to choose which lottery modalities it wants to offer.

The estimated revenue is R$ 3.4 billion, which will be invested in public health policies. The contract requires the consortium to adopt protective measures to prevent children and adolescents from accessing lottery products. Physical points of sale must be at least 300 meters away from schools and childcare centers.

The concessionaire must create a user database and manage lottery products, points of sale, payment systems, and customer service. Additionally, a compliance plan must be implemented to prevent money laundering and other irregularities in betting.