Sizekhaya expresses disappointment after High Court sets aside Lotto licence award

Ask AI 2minSizekhaya Holdings chairperson Moses Tembe.

Sizekhaya Holdings has expressed disappointment after the North Gauteng High Court in Pretoria set aside the awarding of the Fourth National Lottery and Sports Pools Licence to the company, insisting that the National Lottery will continue operating as normal.

The company said it noted the judgment handed down on Monday in review applications brought by Ithuba Lottery RF (Pty) Ltd and Ringeta Consortium RF (Pty) Ltd challenging the awarding of the licence.

Sizekhaya said the court had made no adverse findings against it on any of the grounds raised, describing the ruling as concerning a technical issue in the licence award process that had been referred back to Trade, Industry and Competition Minister Parks Tau for reconsideration.

The judgment directs Tau to reconsider the licence award within 12 months after setting aside the decision to appoint Sizekhaya as the lottery operator.

However, the court suspended its declaration of invalidity for two consecutive six-month periods to protect the public interest and ensure the lottery continues operating while arrangements are made for a possible change of operator.

Sizekhaya assured players, retailers, beneficiaries and the public that the National Lottery would continue operating without interruption.

The company said tickets could still be purchased; games would be drawn as scheduled and prizes would be paid out in the usual manner.

It noted that the court had expressly suspended its order in recognition of the public interest, including the dependence of organisations such as old-age homes and children’s homes on funding through the National Lottery Distribution Trust Fund.

Sizekhaya said it remained committed to running the National Lottery with integrity and maximising contributions to good causes across South Africa.

The High Court set aside the awarding of the Fourth National Lottery and Sports Pools Licence to Sizekhaya Holdings and declared the licence agreement between the minister, the National Lotteries Commission and the company invalid.

The matter was referred back to Tau for reconsideration, with the court directing him to disregard the report and recommendations of the Ministerial Committee when making a fresh decision.

The ruling follows legal challenges by unsuccessful bidders, including Ithuba Lottery and Ringeta Consortium, against the awarding of the lucrative licence.

Sizekhaya was announced as the successful bidder in May 2025 and took over the operation of South Africa’s National Lottery on June 1, 2026.