Sizekhaya still in the running for National Lottery licence following High Court ruling
06 November 2026– Sizekhaya Holdings has reaffirmed its commitmentto the uninterrupted operation of South Africa’s National Lottery following a High Court judgment setting aside the award of the fourth National Lottery licence on the grounds of procedural unfairness in the decision-making process followed by Minister of Trade, Industry and Competition Parks Tau.
Sizekhaya, which assumed responsibility for operating the National Lottery on 1 June 2026, remains the operator while Minister Tau reconsiders the licence award, in accordance with the court’s order.
The order of the court is suspended for a year (split into two six-month tranches) to give the minister time to reconsider.
“South Africans can be assured that it is business as usual for the National Lottery,” says Sizekhaya Chief Operating Officer Fundi Sithebe. “Tickets remain available, draws will take place as scheduled, and winners will continue to receive their prizes. There will be no interruption to the services that millions of South Africans rely on.”
Underscoring the continued momentum of the National Lottery, Friday’s PowerBall and PowerBall XTRA draws offer a combined guaranteed jackpot of at least R55 million. “With R55-million in guaranteed jackpots up for grabs this Friday, our message to players is clear: the draws go on, the prizes are there to be won, and the National Lottery continues to deliver,” says Sithebe.
“The National Lottery is about more than the opportunity to win a prize. It plays an important role in supporting good causes and communities across our country. That responsibility remains unchanged. Sizekhaya will continue fulfilling its obligations as an operator to support the lottery’s contribution to good causes, without interruption.”
The Gauteng Division of the High Court in Pretoria set aside the licence award on the grounds of procedural unfairness in Minister Tau’s decision-making process.
Specifically, the court found that the minister had introduced an additional committee into the evaluation process that was not provided for in the original request for proposals. This committee reassessed bids, applied different criteria, and produced recommendations that informed the Minister’s decision. The court found that this departure from the prescribed process was procedurally unfair.
Importantly, the judgment did not find that Sizekhaya’s bid was defective or that the company was unfit to operate the National Lottery.
“The distinction is important,” says Sithebe. “The court identified a procedural irregularity in the process followed by the Minister. It did not find that Sizekhaya lacked the capability, resources, or suitability to operate the National Lottery. South Africans deserve clarity about precisely what the judgment says and what it does not say.”
The court expressly rejected the challenge to Sizekhaya’s funding arrangements, finding that the minister had acted reasonably in relying on the financial backing of the company’s shareholders and the relevant banking relationship.
The court also made no finding of wrongdoing concerning allegations of political connections and expressly accepted that the minister had acted in good faith.
“Sizekhaya has always maintained that it has the financial backing and operational capability to manage the National Lottery responsibly,” says Sithebe. “The courtrejected the challenge to ourfunding arrangements. Equally, the judgment made no finding of wrongdoing concerning allegations of political influence. These are significantfacts that should not be lostin the public discussion ofthe ruling.”
The court has referred the licence award back to Minister Tau for reconsideration, without reliance on the additional committee’s report.
Crucially, Sizekhaya remains eligible to hold the National Lottery licence. The judgment does not disqualify the company from this, nor does it direct that the licence be awarded to Ithuba or any other bidder. The responsibility for reconsidering the award now rests with Minister Tau, in accordance with the court’s directions.
“The judgment is clear that the award must be reconsidered because of a procedural irregularity in the Minister’s decision-making process,” says Sithebe. “It does not question Sizekhaya’s ability to operate the National Lottery, and it does not exclude us from being awarded the licence again.”
Sizekhaya respects the judicial process and will continue to focus on its responsibilities while the reconsideration takes its course.
“The decision on the licence now rests with Minister Tau. Our responsibility is to continue delivering a National Lottery that South Africans can rely on. We remain fully committed to that responsibility and to the integrity, stability, and continuity of the National Lottery.”
Since assuming responsibility for the National Lottery in June, Sizekhaya has focused on ensuring operational continuity, maintaining public confidence, and delivering an accessible and responsibly managed National Lottery.
“Legal processes must take their course, but the National Lottery must continue to serve the people of South Africa,” Sithebe concludes. “Our teams remain focused on delivering a reliable, transparent, and trusted lottery. For players, winners, and the good causes supported by the National Lottery, our message is simple: it is business as usual and the status quo remains.”
About Sizekhaya Holdings
Sizekhaya Holdings is the operator of South Africa’s National Lottery from 1 June 2026. Sizekhaya – which means “coming home” in isiZulu – is committed to building a modern, accessible and responsibly managed National Lottery that creates excitement for players while delivering meaningful impact for communities across South Africa.
Find Sizekhaya Holdings online at https://sizekhaya.co.za/
