Tanco-led DigiPlus Interactive Corporation aims to launch operations in Brazil's $2 billion online gaming market by the fourth quarter of this year, leveraging the success of its Philippine online betting platform, ArenaPlus.
Celeste Jovenir, DigiPlus vice president for investor relations, said the company is finalizing operational plans after receiving Definitive Authority from the Brazilian government to operate sports betting and online games.
"ArenaPlus will be the vehicle," Jovenir stated.
Last week, DigiPlus announced that only 10 percent of applicants were granted Definitive Authority from the Secretariat of Awards and Bets, including DigiPlus.
"Brazil’s dynamic gaming landscape presents a pivotal milestone in DigiPlus’ global journey," said DigiPlus Chairman Eusebio Tanco. "We are bringing not just our innovative platforms and diverse gaming portfolio but also our unwavering commitment to responsible gaming."
Tanco added, "By combining our proven platforms with localized insights, we are confident in our ability to resonate with Brazilian players and contribute to the country’s thriving iGaming sector"
Abacus Securities Corporation noted that DigiPlus appears to be prioritizing sports betting with the launch of ArenaPlus, alongside e-casino games that have driven the platform's growth in the Philippines.
Last November, DigiPlus passed the qualification stage for a federal license with Brazil's Ministry of Finance's Secretariat of Awards and Bets (SPA), placing it in the final stages of the licensing process to participate in Brazil's newly regulated iGaming sector.
With a population exceeding 200 million and a strong enthusiasm for sports betting, Brazil represents a significant growth opportunity for DigiPlus.
"This underscores our dedication to expanding into a new region while maintaining our focus on the Philippines as our core market," Tanco said.
DigiPlus President Andy Tsui highlighted Brazil's large population and deep-rooted passion for sports. "We understand that the market size is about $2 billion for 2024, and we expect it to grow about 15 to 20 percent over the next five years, potentially reaching around $4 billion by 2029."
Tsui explained, "We can leverage our existing platform and make necessary changes to meet local compliance requirements. The product is very similar to what we offer in the Philippines, so we start better prepared for the game offering."
The license will be valid for five years and cost around $6 million. Tsui noted that DigiPlus is "exploring options to work with local partners to kick-start operations faster."