SEGG Media is reestablishing its online lottery business Lottery.com in the U.S.
The sports and gaming conglomerate announced plans to reintroduce the platform following a rebrand and recent regulatory and legal controversies.
Lottery.com is looking to establish its position in the U.S. lottery industry through affiliate partnerships with state lotteries. The brand is in the process of securing affiliate deals with several state lotteries. The states considering affiliate deals are Pennsylvania, Michigan and Virginia.
SEGG, owner of Sports.com and Concerts.com, is investing in its lottery brand with America’s iLottery sector projected to have a market size of $31 billion by 2035.
Lottery.com’s affiliate deals are expected to include a rewards program for players aimed at driving engagement and providing community investment through lottery proceeds. The rewards program will be delivered to state lotteries in phases starting later this year.
“The excitement surrounding Saturday’s Powerball estimated $1.7 billion jackpot is exactly why we accelerated our timeframe to reintroduce Lottery.com to the U.S. market,” said SEGG Media COO Gregory Potts. “Lottery.com is a globally recognized brand. Reintroducing it now allows us to capitalize on historic demand, support the individual state lotteries, and deliver long-term value for our shareholders.”
SEGG Media announcing affiliate partnerships for Lottery.com comes after the conglomerate established two new business sectors: SEGG Digital and SEGG Productions.
SEGG Digital houses the company’s global marketing efforts for the company’s entire portfolio of brands, while SEGG Productions will focus on producing original films, short-form video content and docuseries for music, sports and entertainment.
SEGG created the two business arms after rebranding from Lottery.com in July in an effort to stabilize operations and continue creating shareholder value through partnerships. The rebrand included a new trading ticker symbol for the company: SEGG.
Nasdaq sent warnings to Lottery.com
Lottery.com was rebranded and provided a new trading ticker after the brand received notice from the Nasdaq about a potential delisting from the stock market due to non-compliance issues amid a resignation. Lottery.com was given a warning after an abrupt resignation from its board of directors and its audit and compensation committees.
The resignation led the Nasdaq to cite Lottery.com for failure to adhere to Listing Rule 5605, which requires the board to consist of at least three members. Lottery.com faced a similar issue in 2022 after several board members relinquished their roles.
Lottery.com named in Texas class-action suit
Earlier this year, Lottery.com was named in a class-action lawsuit in Texas over allegations of facilitating a “long-running fraud scheme.” The brand was included in the suit for the alleged misconduct of founder Ryan Dickerson, who allegedly colluded to buy winning lottery tickets.
Dickerson, who was terminated in 2022, allegedly bought 142 winning lottery tickets in three years, including a winning $50,000 Powerball ticket in 2020. A year later, Dickerson pocketed another $50,000 from another winning Powerball ticket. The alleged scheme is also tied to allegations of fraud pertaining to a $95 million jackpot in 2023.
