Tuesday, November 29, 2022
HomeBusinessNLA signs GHS 55M deal with KGL for 2022

NLA signs GHS 55M deal with KGL for 2022

-

The National Lottery Authority (NLA) has signed a GHS55 million agreement with KGL Technology Limited for the year 2022.

This agreement gives KGL Technology Limited the License to operate NLA’s 5/90 online Game as a collaborator for the year 2022.

In November 2019, the NLA signed an agreement with KGL Technology Limited granting the latter a Provisional License Agreement to operate its 5/90 Game as an online lottery game on a pilot basis for two years.

As part of the Agreement, KGL Paid GHS20 million to NLA in 2020 and paid GHS25 million in 2021.

A substantive 10-year Agreement renewable every three years, thus was to begin in January 2022 between NLA and KGL.

With the new direction of management under the leadership of Mr Samuel Awuku and the Board of Directors chaired by Togbui (Hon.) Francis Albert Nyonyo, NLA has re-negotiated the deal to secure GHS 25 million more for the Authority.

This brings the total amount to GHS55 million for the year 2022.

KGL will in addition to the GHS55 million pay a Licensing Fee of GHS1.7 million.

The breakdown for the total amount is as follows:

GHS50 million will go into NLA’s coffers. GHS3 million will go into a Stabilisation Fund to cushion the Lotto Marketing Companies (LMCs) whose businesses have seen a downward turn recently.

The remaining GHS2 million will go into the NLA’s Good Causes Foundation to support the Authority’s Corporate Social Responsibility projects.

ALSO READ:

The total amount will be paid in quarterly instalments effective 31st January 2022.

For the staff of NLA and the Authority’s other stakeholders, this new deal is a game-changer and will shore up the Authority’s revenue, which has declined in the last couple of years.

Director-General NLA, Samuel Awuku

The Agreement was finally signed after several weeks of tough negotiations between KGL and NLA.

The Board of Directors of NLA however commended KGL for their innovation over the last two years during the pilot stages and robust ICT infrastructure put in place.

The Board Chairman of NLA, Togbui (Hon.) Francis Nyonyo at a brief signing ceremony admonished KGL not to be complacent but work hard to justify the confidence reposed in them.

Source link

Related articles

- Advertisement -

Latest posts