Sizekhaya Holdings Trails South Africa National Lottery Sales Targets by 39 Percent Amid Licence Overturn

Sizekhaya Holdings, the current operator of South Africa’s National Lottery, is behind in sales by 39% from the target amount set in its original licence bid. This revelation emerged during parliamentary proceedings that also covered last week’s Pretoria High Court ruling to reverse the licence award.

The licence was granted to Sizekhaya Holdings last year by Minister of Trade Parks Tau, replacing Ithuba after a competitive bidding process. Challengers including Ithuba argued that Tau had deviated from established guidelines by creating a special committee for evaluation. The court accepted this position, requiring Tau to restart the bidding within six months and complete the award within an additional six months. Tau is still weighing an appeal against the judgment, according to reporting by Lottery Daily.

Sales Figures and Regulatory Response

Tintswalo Nkuna, Executive Manager of the National Lotteries Commission (NLC), briefed Parliament on the operator’s performance. Sizekhaya Holdings had projected around R3.5bn in ticket sales. Actual results from the start of June 2025 through September 2026 stood at R2.1bn.

It’s also an underperformance of 21.7% below their revised forecast, as was submitted with the business plan. Such underperformance is commonly anticipated during lottery operator transitions, largely attributable to player hesitation. The NLC is actively tracking developments through mandatory weekly sales submissions from the operator.

If the rebidding advances, Sizekhaya Holdings will maintain operations in the interim and may participate in the new tender process.

What the Licence Uncertainty Means for Operations

The court decision introduces a structured but extended timeline for resolving the ownership of the National Lottery. With sales already lagging, the 12-month window for re-procurement risks further revenue volatility that could impact beneficiaries reliant on lottery proceeds. For prospective bidders, the case underscores the necessity of precise adherence to procedural rules. The Minister’s forthcoming choice on appeal will signal how strictly such guidelines will be enforced in future allocations.