Bosnia's Lutrija RS gets shareholders' nod to set up JV with Casino Austria

On November 1, Lutrija RS' shareholders have endorsed the contract signed last month with Casino Austria on establishing the joint venture company, the government-controlled lottery operator said in a filing to the Banja Luka Stock Exchange (BLSE) earlier this week.

The new company will be called Elektronska Video Lutrija and will be based in Banja Luka.

Earlier this year, Lutrija RS opened an international tender for selecting a partner for the project, saying it will control 51% of the new company, with the future partner to hold the remaining 49%.

In July, Lutrija RS said that the value of its 51% in the future JV was estimated at 6.75 million marka ($3.8 million/3.45 million euro), including its exclusive rights to hold electronic games of fortune on the territory of the Serb Republic entity. Therefore, the overall contribution of the future partner should amount to at least 5.0 million marka, Lutrija RS said back then.

Lutrija RS' shares last traded on the BLSE on August 2, closing flat at 0.825 marka.

The Serb Republic's shareholding fund Akcijski Fond is the company's majority shareholder with a 65% stake, followed by Lutrija RS itself with 24%, while the remainder belongs to smaller shareholders.

The Serb Republic is one of two autonomous entities that form Bosnia and Herzegovina. The other one is the Federation.

(1 euro = 1.95583 marka)