Codere Online’s CEO, Aviv Sher, announced that the company is actively seeking merger and acquisition opportunities and considering expansion into new markets. In their recently released third-quarter results for 2024, Codere Online revealed a net gaming revenue (NGR) of €51.7 million, with total earnings reaching €49.2 million for the quarter.
In the key markets of Mexico and Spain, the NGR increased to €24.2 million and €20.9 million, respectively. The company presently has operations in Brazil, Mexico, Argentina, Colombia, Peru, Chile, Uruguay, Puerto Rico, and Panama, collectively generating an NGR of €4.1 million across these regions.
During an analyst call post-publication of results, Sher discussed potential expansion plans across Latin America, stating: “We are considering growth opportunities, whether it’s in additional Latin American markets or utilizing our cash effectively.” He mentioned the possibility of engaging in M&A activities or entering new markets, pointing out that while no immediate announcements are on the horizon, there are medium-term strategies being evaluated to foster organic growth or potentially reinvest in existing markets.
Meanwhile, Chief Financial Officer Oscar Iglesias emphasized that Codere Online will maintain its disciplined approach to capital allocation following its public debut in 2021. Iglesias remarked: “Post de-SPAC over the past three years, we remain committed to ensuring that any investment we make competes favorably with the return profile seen in Spain and Mexico,” highlighting the company’s openness to new opportunities while staying disciplined in capital allocation.
Sher was also questioned regarding the renewal of Codere Online’s license in Colombia, which is set to expire in November 2025. Codere Online made its entry into the Colombian market in 2018 and is among 15 operators currently active there. At present, the company pays statutory taxes comprising 15% of its NGR.
Sher responded, indicating the intention to remain in Colombia provided the conditions remain favorable, and is open to exploring further opportunities when possible. He stated: “We view our licenses as valuable assets, and Colombia is a significant one. We’re seeing better performance and a slightly positive EBITDA.”
Sher added, “Despite the challenges, this market generates approximately €1 million monthly. If the terms remain reasonable, we plan to renew the Colombian license. We are committed to assessing the market for further prospects in the near to medium future.”
The original article discussing Codere Online’s plans for expanded operations in Latin America following its steady growth was first published on EGR Intel.