Super 5 price hike no breach of Maltco conditions

The finance ministry has declared there was no breach of the tender conditions for bidders for the national lotteries, after operators Maltco effected a price increase on the Super 5 lottery.

Maltco's new price regime will see Super 5 tickets costing €2 instead of €1.50, while the minimum lotto gamble will double to 50c. But according to its licence tendering contract, prices governing the betting cannot be changed for the first six months of the licence's duration. Given how the licence officially began as from 5 July, the prices were to remain fixed until 5 January, 2013.

In replies by the finance ministry to questions sent by MaltaToday, the ministry said there was no breach of tender conditions since all prospective bidders were informed during the tendering process that no variations to the existing games would be considered in the first six months of the licence term unless, these were proposed at submission of tender stage.

"It must be pointed out that as a result of this increase, the minimum guaranteed prize for the Super 5 Lottery increased from €120,000 to €150,000 and that winners of three numbers will win €30 instead of €25," the ministry said.

On its part, the Lotteries and Gaming Authority granted approval for the removal of the Saturday lotto prize reduction system, ensuring certainty in the winning multiplier in the interest of the players.

An LGA spokesperson had also said that Maltco's proposals were approved by the LGA has they did not impinge on the fairness of the game and on other gaming regularity considerations.

Earlier during 2012, Maltco renewed the licence to operate the national lottery, which it was first granted in 2004 for seven years. It successfully beat a €36.2 million bid by competing company GTech, a subsidiary of Lottomatica, with an offer which government said amounted to €39.1 million.

The new licence will last for 10 years and commenced on 5 July.