Codere Online made a bold move in 2021 by becoming the first Latin American-facing igaming operator to list on a US stock exchange. The wave of regulation sweeping the continent has prompted new CEO Aviv Sher to prepare the company to take advantage of emerging opportunities.
The company underwent a significant overhaul in 2021, leading to the separation of its digital business as a standalone entity. A partnership with special purpose acquisition company (SPAC) DD3 Acquisition Corp resulted in a Nasdaq listing, opening up new possibilities for Codere Online in the regulated Latin American igaming market.
While initially limited to Colombia and facing tough competition, the company’s prospects have improved with the potential for sports betting regulation in Brazil, and closer developments in Peru and Chile. By divesting heavily in brand-building and sponsorship deals, Codere Online has positioned itself to maintain market share and compete in these evolving markets.
Spain and Mexico remain key markets for Codere Online, with a strong presence in Spain despite advertising restrictions, and a growing focus on investment in Mexico. With Mexico surpassing Spain as Codere Online’s largest single territory, the company is diverting funds to capitalise on this growing market.
Despite the potential in Brazil, Codere Online currently does not have plans to enter the market due to cultural and operational considerations. However, the company is focused on profitability as it looks to expand its presence in Latin America and potentially target the Spanish-speaking population in the United States.
As the company looks to the future, potential opportunities in markets such as Argentina, Peru, and Panama remain on its radar, with a focus on only operating in fully regulated and low-tax markets. Ultimately, Codere Online’s growth strategy depends on its profitability and market valuation, with a long-term interest in expanding into new territories in the Americas.