The Spanish government late Wednesday decided to postpone the initial public offering of its lottery operator as it was advised that the issue under the current market condition would possibly fetch less than the book value.

The government was planning to sell 30 percent stake in of Sociedad Estatal de Loterias y Apuestas del Estado. Finance Minister Elena Salgado told Cadena Ser radio station that the banks warned that there is a risk of final proceeding falling short of EUR 20.8 billion.

The company runs the country's El Gordo or 'Fat One' Christmas lottery, which carries a huge prize amount.

Spain is struggling to cut its huge budget deficit. The IPO was part of a series of asset sales that was originally framed to cut its debt.

RTTNews