REG-ZEAL Network SE ZEAL Network SE: Prize pay-out / guidance provided for 2019

ZEAL Network SEAnnouncement

12/08/2019 17:45

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   ZEAL Network SE ( -)
   ZEAL Network SE: Prize pay-out / guidance provided for 2019

   12-Aug-2019 / 18:41 CET/CEST
   Dissemination of a Regulatory Announcement that contains inside
   information according to REGULATION (EU) No 596/2014 (MAR), transmitted by
   EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   Prize pay-out / guidance provided for 2019

   In a secondary lottery held by MyLotto24 Limited, a fully consolidated
   minority shareholding of ZEAL Network SE, a customer has won a prize of
   EUR 26.3 million.

   The self-retention specified in MyLotto24's hedging instruments will be
   utilized after the pay-out, part of which will be covered by those
   instruments. Total Operating Performance and EBITDA in the current fiscal
   year 2019 will therefore be impacted by EUR 21.5 million. Possible further
   jackpot winnings in 2019 will have no negative impact on EBITDA due to the
   full utilization of the self-retention.

   In addition to the future jackpot development for major lottery products,
   the exact timing of the planned business model change - in connection with
   the takeover of Lotto24 AG in May 2019 - is of decisive importance for the
   ZEAL Group's forecast. Since the more profitable secondary lottery
   business will be converted to the brokerage business permitted in Germany
   from this date, ZEAL expects negative effects on revenue and profitability
   in the fourth quarter of 2019.

   Based on the expectation of a business model change in October 2019, the
   effects on the customer base that cannot be conclusively assessed from
   today's perspective and the big price pay-out on 10 August 2019, ZEAL
   anticipates Total Operating Performance for the 2019 financial year
   significantly below the previous year (2018: EUR 160 million) and EBITDA
   between EUR 18 and 21 million (2018: EUR 48 million).

   The dividend policy for 2019 remains under review.

   Explanations of the key financial figures used can be found on the
   Company's website (available in the annual report 2018 at
    1 https://www.zeal-network.co.uk/investors/publications/.

   Contact:

   Frank Hoffmann, CEFA
   Investor Relations

   ZEAL
   5th Floor - One New Change
   London EC4M 9AF

   T +44 (0) 20 3739-7123
   F +44 (0) 20 3739-7199

   frank.hoffmann@zeal-network.co.uk

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   ISIN:           GB00BHD66J44
   Category Code:  MSCM
   TIDM:           -
   LEI Code:       391200EIRBXU4TUMMQ46
   OAM Categories: 2.2. Inside information
   Sequence No.:   16541
   EQS News ID:    856191


    
   End of Announcement EQS News Service

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References

   Visible links
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