DigiPlus sees limited impact from Brazil’s betting ban
The Philippine operator is winding down its Brazilian operations while assessing the provisional measure and its next steps.
Key takeaways:
- DigiPlus expects no material impact from Brazil’s fixed-odds betting ban.
- The company complied with the order to stopped new deposits on September 25 and must take its sites and apps offline on October 6.
- It noted that legal processes are still underway.
The Philippines.- DigiPlus Interactive Corp has said that the provisional online betting and gaming ban in Brazil is not expected to affect its overall financial or operating position materially. The Philippine operator noted that it is complying with the measure by processing player withdrawals and winding down its Brazilian operations while the government order goes through legislative and legal processes.
In a September 28 statement, the company said it is taking all necessary steps to comply with the Brazilian government’s directive, which was signed by President Luiz Inácio Lula da Silva on September 25. The order bans online gambling with immediate effect. Customers have until October 5 to withdraw any remaining balances. Licensed betting websites and apps will be blocked from October 6, while operators must reconcile customer balances between October 7 and October 8 and return funds between October 9 and 14. Lottery products are not affected.
However, the measure will require congressional approval to become permanent law. DigiPlus described the situation as fluid and not final. Some operators have already suggested that they will take legal action.
Brazil was DigiPlus’s first overseas market. The company soft-launched its GamePlus platform there before pausing operations to adapt the product for local players. While the Brazilian business later began generating revenue, it remained a relatively small contributor compared with DigiPlus’s core Philippine operations. The operator is also exploring other regulated markets, including South Africa and New Zealand, as part of its international expansion plans.
Frequently asked questions (FAQs)
- What is DigiPlus doing in response to Brazil’s betting ban? DigiPlus is processing customer withdrawals and complying with the timetable for suspending deposits and taking its betting sites and apps offline.
- When will betting sites and apps go offline in Brazil? Under the current timetable, betting sites and apps must stop operating from October 6, following the September 25 ban..
- Why does DigiPlus expect little financial impact from Brazil? The Brazilian operation remained a relatively small contributor compared with DigiPlus’s core Philippine business, despite Brazil being its first overseas market.
