Philippine-listed DigiPlus Interactive Corp moves closer to launching iGaming operations in Brazil with P660 million initial funding.
DigiPlus Interactive Corp, a Philippine-based holding company with interests in gaming and leisure, has announced that its board of directors has approved an initial investment of P660 million (US$11.2 million) to pursue a federal license for iGaming operations in Brazil. This step is part of the company’s ongoing efforts to expand its footprint in the global online gaming industry.
In its filing submitted recently, DigiPlus revealed that its wholly owned subsidiary, DigiPlus Brazil Interactive Ltda, had successfully passed the qualification stage required by Brazilian authorities for obtaining an iGaming license. The company now aims to meet the post-qualification requirements set by Brazil’s Ministry of Finance’s Secretariat of Awards and Bets, which oversees gaming regulations in the country.
The initial funding of P660 million will be allocated toward various expenses related to securing the federal license. These include the payment of license fees, meeting minimum capitalization requirements, establishing financial reserves, and covering other operational costs that are part of the post-qualification process. DigiPlus expects this funding to cover the next three months as it works to fulfill regulatory obligations.
“This initial funding is intended for a three-month horizon,” stated DigiPlus in its filing. The company is confident that once the post-qualification requirements are met, it will be able to secure a spot on the final list of approved operators. This would allow DigiPlus to offer a range of gaming services in Brazil, including land-based and online sports betting, electronic games, live game studios, and other fixed-odds betting activities.
The company also confirmed that it has a 30-day window to meet all post-qualification requirements, which include platform certification and payment of license fees. Following the successful completion of these steps, Brazil’s Secretariat of Awards and Bets will release a final list of licensed operators, with the new regulations set to come into effect on January 1, 2025.
Brazil is considered one of the largest emerging markets for online gaming, and DigiPlus’ decision to target this market highlights the company’s ambition to diversify its portfolio and tap into the growing demand for digital entertainment. While the Brazilian government has taken a cautious approach to regulate the iGaming industry, the recent approval of DigiPlus’ qualification marks a significant milestone in the company’s efforts to enter this lucrative market.
DigiPlus is no stranger to the digital gaming landscape. The company has invested heavily in the development of online gaming platforms, with a focus on delivering digital sports betting and other interactive services to a global audience. In 2022, DigiPlus launched BingoPlus, an online bingo platform that has gained popularity among players. The company also launched ArenaPlus in February 2023, a new brand designed to capture the growing sports betting market.
Despite its ambitions for international expansion, DigiPlus remains committed to its digital transformation strategies. In a recent statement, DigiPlus president Andy Tsui emphasized that the company is focused on executing its digital plans, which offer higher margins compared to traditional land-based casino operations. As a result, DigiPlus does not currently have plans to develop a casino property on Boracay, the popular tourist island in the Philippines. The company had previously been associated with a proposal to build an integrated resort and casino on the 24-hectare property in Boracay, but Tsui confirmed that no such plans are in place for the foreseeable future.
“At the moment, we have no imminent plans to develop the 24-hectare [59.3-acre] property in Boracay into an integrated resort because we still remain focused on executing our digital transformation strategies, which give us a higher margin,” Tsui was quoted as saying in a Business World report.
Continued Growth in Online Gaming User Base
DigiPlus’ digital platforms have shown strong growth, with the company reporting a significant increase in its registered user base. According to Tsui, DigiPlus has reached a total of 40 million registered users across its various gaming services. At the end of the third quarter, the company reported approximately 4.5 million monthly active users, a sharp rise from around 2 million active users at the end of 2023.
Plans for Acquisition and Future Developments
In addition to its international ventures, DigiPlus is also exploring potential acquisitions to further expand its presence in the gaming sector. However, the company has clarified that it currently has no plans to acquire CasinoPlus, an online gaming provider regulated by the Philippine Amusement and Gaming Corp (PAGCOR). CasinoPlus holds a gaming license for its under-renovation integrated resort, the Hotel Stotsenberg and Casino, located in Clark, north of Manila. DigiPlus had been rumored to be in discussions for a possible acquisition of CasinoPlus, but as of now, those plans remain unconfirmed.
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