BGA Revoke Grow mine Africa Pty Ltd as the Preferred Lottery Operator

The Botswana Gambling Authority on June 4 announced Grow mine Africa (Pty) Limited trading as Dineo TSA Pula, as the preferred applicant. At the same time, the Ithuba Solutions (Pty) Limited, trading as Ithuba Botswana as the reserve applicant.

It awarded Growmine a license to operate the first-ever Botswana National lottery for ten years, which is expected to pay an annual license fee of P1m. It is also likely to have to pay an upfront fee of a P10million kick start the lottery. A public notice to this effect was issued on June 10, 2020. They indicated the selection based upon the successful negotiation and conclusion of a license agreement between all applicants. The Botswana Gambling Authority and the preferred applicant; during the announcement, the Authority further indicated that should negotiation with the preferred applicant fails, the gambling authority would commence negotiations with the reserve applicant.

However, on January 19, 2021, the gambling authority began negotiations with Grow mine; thus, the Authority on July 26, 2021, circular read the Board of the Authority wishes to inform the nation that negotiations with GrowMine were unsuccessful and consequently the status of GrowMine as the preferred applicant has been revoked. The failure of the talks results from Growmine inability to satisfy the Authority on a key, non-negotiable requirement as per the request for the applicant (RFA) for the license to operate the National Lottery. An essential undertaking was made in their application and presentation to the evaluation committee.

As a consequence of this revocation, the board has resolved to invite the reserve applicant to negotiate the license to operate the Botswana National Lottery. Communication and agreement with the reserve applicant to implement the board resolution will now commence, given by the board’s Authority.
Meanwhile, Growmine having been registered in 2016 under the trading name of Dinep TSA Pula it was a surprise that the deal had to break down between the Botswana authorities, which started negotiating with the reserve applicant recently.

Grow Mine has the backing of several prominent businesspeople, such as Sefalana Group Managing Director Chandrakant Chauhan. The list of shareholders also includes:

• Safariland Holding Company which owns 80%.
• Colmar Enterprises at 47%.
• Citizen money makers at 26%.
• Idle hill (PTY) Ltd at 20% Carthlee.

Inventions at 21 % and Mokgethi Magapa at 6% regarding the condition set by the Botswana lottery, a certain percentage of the lottery proceeds is expected to be donated to the National Lottery Fund to benefit the creative industry, youth, and other sectors. Nonetheless, Botswana has a well-regulated and functioning Gambling Authority that permits all the most common forms of gambling except for online gambling.

It is not explicitly stated in the 2012 Act players are eligible to play on foreign international sites; there are no laws that prohibit bettors. Even though, before the 2012 Act, they are two laws regulating gambling in the country, the Lotteries and Betting Act and the Casino Act.

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