Betsson strengthens position in Latin American market
Swedish iGaming operator Betsson is expanding its operations to the Latin American market. The company, which is already an established brand across Europe and Central Asia, is opening to new markets in the United States and Latin America among others.
Betsson owns over 20 gaming brands and offers casino games and sportsbook products in multiple countries. Its subsidiaries are licensed in Malta and through this license they offer their services in the EU. Apart from their Maltese gaming license, Betsson holds gaming licenses in 16 additional jurisdictions and keeps applying for more. The most recent of their licenses are from Colombia and Argentina.
As part of their expansion plan to the LatAm market, Betsson acquired a 50% stake in JDP Tech, a software development business. The reason why Betsson was interested in this acquisition is that JDP Tech owns a proprietary technology platform that handles payments in Latin America.
The deal was made between Betsson Perch Investments – a subsidiary of Betsson AB, and JDP Tech. Betsson bought shares of JDP Tech for €8.8m which is around £7.6m or $10.6m.
The objective of investing in this technology platform was to secure customer payment flows in the Latin American market and therefore making customer deposits and withdrawals convenient to potential customers.
Betsson’s CEO Pontus Lindwall said “LatAm is a strategically important region for Betsson and we see great future potential for the company there. With this strategic investment Betsson is well positioned to further expand our business in the LatAm iGaming market.”
In addition to this new partnership, Betsson has been making agreements in the Latin American region in the past few years. In Brazil they have acquired 75% of shares of Suaposta in 2019, and the following year they acquired 70% of Colbet, a Colombian operator. The same year Betsson was granted a license in Colombia and they are in the process of getting one for a right to operate in Argentina, both in the Province and City of Buenos Aires.
Betsson seems to be expanding fast into the South and Central American market and they have been introducing new sports betting brands in the regulated markets of Colombia and Peru. The iGaming market is opening in most of South America around now and this is the best time to set a foot in these countries; a fact that Betsson didn’t fail to recognize. They are close to entering the opening markets of Argentina and Brazil, the two largest countries in the region and therefore solidifying their position on the market. Betsson has also recently teamed up with Big Bola Casinos for online gambling operations in Mexico and by the end of the year Betsson Mexico will offer casino and sports betting products in the Central American country.
Apart from opening towards Latin America, Betsson is also expanding towards the United States. They have recently acquired 35% of the Strive Platform, similarly, through purchasing shares of another company – TG Lab. Betsson hopes that through this partnership they can use TG Lab’s player account management system (PAM) and get an easier launch into the US market.