The High Court in Pretoria has set aside the award of South Africa's fourth National Lottery licence to Sizekhaya Holdings, finding that Trade Minister Parks Tau relied on a ministerial committee that ran its own evaluation of the bids. The ruling is suspended, so Sizekhaya keeps running the lottery while the minister decides again.
What happened
On Monday 2 November 2026, Judge Norman Davis of the Gauteng Division of the High Court in Pretoria set aside Minister Parks Tau's May 2025 decision to give the licence to Sizekhaya. The court also declared the licence agreement between the minister, the National Lotteries Commission (NLC) and Sizekhaya invalid.
The case, number 108644/2025, was brought by two losing bidders, Ithuba Lottery and the Ringeta Consortium. The Economic Freedom Fighters (EFF) joined with a separate challenge to the Lotteries Act, which the judge dismissed.
What the judgment says
The bid process had three stages: evaluation, adjudication by the NLC, then the minister's decision. According to GroundUp's report of the judgment, the evaluation committee ranked Ringeta first, and the NLC's adjudication committee recommended Ringeta as preferred bidder with Sizekhaya in reserve.
Tau then appointed a ministerial committee to re-assess the bids. It recommended Sizekhaya first and Ithuba as reserve. The judge held that the bid documents did not allow the minister to create such a committee, that it ran a "parallel process" with new consultants and new rankings, and that the bidders did not know about it. Reasons in the minister's decision, the judge said, often followed the committee's recommendations word for word. He found this unlawful and procedurally unfair.
The minister argued the committee only helped him weigh concerns already before him. The court rejected that.
The judgment is not a finding against Sizekhaya itself. Sizekhaya says the court made no adverse finding on its capability or suitability, and that it can be awarded the licence again. The 52-page judgment, as published by GroundUp, turns on process, not capability.
What the order requires
Tau must decide the licence again and ignore the ministerial committee's report and recommendations. The declaration of invalidity is suspended for two consecutive six-month periods. The first gives him time to make a new decision. The second applies only if he picks someone other than Sizekhaya, and covers negotiating a new licence agreement and handing over operations.
On costs, the minister, the NLC and Sizekhaya were ordered to pay in the Ithuba and Ringeta matters. In the EFF matter each side pays its own.
What it means for players and operators
Nothing changes for players now. Sizekhaya says tickets are on sale, draws run as scheduled and prizes are paid. The court suspended its order partly because good causes funded through the National Lottery Distribution Trust Fund depend on continuous operation.
For operators and suppliers, the unsettled point is who holds the National Lottery licence once the suspension ends, in November 2027 at the latest. If Tau re-awards to Sizekhaya, the licence holder stays the same, but the decision will face scrutiny on how it is reached. If he picks Ringeta, Ithuba or another bidder, a hand-over has to happen inside the second six-month window.
The lottery licence is separate from the bookmaker and casino licensing handled by provincial gambling boards, where a national gambling board plan is under discussion.
What happens next
The six-month clock for the minister's new decision started on 2 November, which puts the first deadline around 2 May 2027. We found no report that Tau, the NLC, Ithuba or Ringeta has said whether it will appeal. Any appeal would change the timetable. We will update this article when a statement is public.
Frequently asked questions
Is the South African National Lottery still running?
Yes. The court suspended its order, and Sizekhaya says draws and prize payments continue as normal.
Why did the court set aside the licence award?
Because the minister relied on a ministerial committee that ran its own evaluation of the bids, which the bid documents did not allow. The court called the process unlawful and procedurally unfair.
Can Sizekhaya still get the licence?
Yes. The minister must decide again without the committee's report. Sizekhaya says nothing in the judgment excludes it.
Sources: High Court of South Africa, Gauteng Division, Pretoria, case 108644/2025, judgment of 2 November 2026; GroundUp's report; The National, 3 November 2026; Sizekhaya's statement as reported by both.
Information, not legal advice. 18+ only. Gamble responsibly.
