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South Africa’s Pretoria High Court has rejected Ithuba’s urgent attempt to block the handover of the national lottery licence to Sizekhaya Holdings.
The ruling means Sizekhaya can continue preparing to take over the lottery on 1 June 2026, while Ithuba remains in place under a temporary extension until then.
A challenge that didn’t convince the court
Ithuba asked the court for an interdict that would pause the award process. It argued that the licence decision was unfair and that Sizekhaya should not be allowed to move ahead until a full review was completed.
Judge Ronel Tolmay disagreed. She said the application did not show enough urgency and that delaying the handover could harm the public. In her view, keeping the lottery running smoothly was more important than Ithuba’s commercial concerns.
She wrote:
“It is in the public interest that the lottery should continue uninterrupted. There is nothing before this court to indicate that Sizekhaya is not in a position to comply with its obligations in terms of the licence.”
Why Ithuba went to court
Earlier this year, Ithuba filed a review application challenging the award of the fourth national lottery and sports pools licence, a five-year contract worth R180 billion.
It claimed the process was flawed and that key criteria around technical expertise, readiness and evaluation had been ignored. It also raised concerns about political links between some of Sizekhaya’s shareholders.
Ithuba then sought the interdict on 1 September, arguing that Sizekhaya would gain an unfair advantage if it embedded its systems before the court had reviewed the case.
Tolmay ruled that Ithuba had delayed too long in bringing the urgent application. She noted that companies in similar disputes usually file their review and interdict applications together, rather than waiting for more information.
The court weighs public impact
Although the judge dismissed the interdict, she still commented on the wider importance of the case. Tolmay said she had to consider the balance of harms: Ithuba’s commercial risk versus the potential loss of revenue for programmes that rely on lottery funding, such as education and health services.
In her view, the risk to public services was too great to justify pausing the licence handover.
What happens next
Ithuba’s main review case is still ongoing.
If it can prove irregularities in the procurement process, the court may still grant a later remedy. For now, however, Sizekhaya can continue preparing for its takeover without legal obstacles.
The company began transition planning in May and has already secured several partnerships, including a deal with Chinese lottery technology company Genlot for ticket systems and staff training.
Goldrush Holdings, the main shareholder in Sizekhaya, recently said the group is on track to meet the June 2026 deadline and is making steady progress on the operational and regulatory work needed for the handover.
With the court’s decision now settled, the focus shifts to the full review and the next stages of South Africa’s national lottery transition.
Source: Focus Gaming News
