Athens-listed Intralot has sold its Polish sports betting subsidiary Totolotek to Gauselmann Group’s Merkur Sportwetten.

As previously reported by Gaming Intelligence, Merkur Sportwetten will take over the Warsaw-based Totolotek business after concluding a share purchase agreement with Intralot, which is currently awaiting merger clearance from Polish authorities.

The acquisition, terms of which have not been disclosed, will see Merkur expand its presence in Europe and enter the Polish market for the first time.

Totolotek was founded in 1992 and is one of the top three operators in Poland with over 260 distribution points, as well as an online and mobile offering. It was acquired by Intralot in 2005.

“We are delighted to have gained a strong strategic partner with Merkur Sportwetten, and the Gauselmann Group behind it,” said Totolotek CEO Adam Lamentowicz. “With its experience and financial strength as well as its innovative products for stationary trade and the online and mobile sector, it will help Totolotek achieve further growth.”

Intralot Group chief financial officer Andreas Chryssos commented: “Consistent with Intralot’s strategy of disinvesting from its non-core markets and focusing on the group’s strategic markets, such as the USA, we are very glad we can safeguard Totolotek’s continued growth within the strong Gauselmann Group and its European-market-focused sports-betting division Merkur Sportwetten.

“In my view, this transaction will create value for all involved parties – Gauselmann, Totolotek and Intralot – which was fundamentally important from Intralot’s point of view when deciding to proceed with this transaction.”

Merkur Sportwetten CEO Niko Steinkrauß added: “Sports betting is extremely popular in Poland and for many football fans it’s an essential part of a good match. The acquisition of Totolotek is an important part of our growth strategy to open up the Polish market and thereby gain another core market in Europe alongside Germany, Austria, Denmark and Belgium.”

Shares in Intralot SA (ASE:INLOT) were trading 0.21 per cent higher at €0.486 per share in Athens Tuesday morning.