Tanco-led DigiPlus Interactive Corporation’s wholly owned subsidiary DigiPlus Brazil Interactive Ltda. has secured an online gaming license that will allow it to penetrate the $2 billion Brazilian market.
In a disclosure to the Philippine Stock Exchange (PSE), the firm said the Brazil government granted DigiPlus Brazil the definitive authority to operate sportsbetting and other online games in Brazil.
It noted that “only 10 percent of the total applicants received Definitive Authority from the Secretariat of Awards and Bets, which includes DigiPlus.”
“Brazil’s dynamic gaming landscape presents a pivotal milestone in DigiPlus’ global journey. We are bringing not just our innovative platforms and diverse gaming portfolio but also our unwavering commitment to responsible gaming,” said DigiPlus Chairman Eusebio Tangco.
He added that “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 said "it appears that the company is focusing first on sports betting with the launch of the ArenaPlus brand in this space as well as e-casino games that have spearheaded the growth of the betting platform here in the Philippines."
Last November, Digiplus said it has passed the qualification stage for a federal license with Brazil’s Ministry of Finance’s Secretariat of Awards and Bets (SPA) which placed it in the final stages of the licensing process so it could participate in Brazil’s newly regulated iGaming sector, one of Latin America’s most dynamic and rapidly growing gaming markets.
With a population exceeding 200 million and great enthusiasm for sports betting, Brazil represents a significant growth opportunity for DigiPlus.
Tanco said “this underscores our dedication to expanding into a new region while maintaining our focus on the Philippines as our core market.”
DigiPlus President Andy Tsui said for his part that “Brazil has a big population, which is about two times as Philippines, and also with a 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. So the market size may reach to around $4 billion by 2029," he added.
Tsui also noted that basically "we can leverage our existing platform and making necessary change to meet the local compliance requirements. At the same time, we understand that the product is very similar to what we offer in the Philippines, so we start certainly better prepared for the game offering."
The license will be valid for five years and will cost around $6 million for the five-year period. “We also exploring options to working with local partner so that we can kick start a little faster,” he said.
DigiPlus said it remains dedicated in its strategy to diversify into international markets with robust regulatory frameworks.