DigiPlus Interactive Corp. is closely monitoring developments in Brazil after the government moved to prohibit fixed-odds betting and online gaming, creating fresh uncertainty for the Philippine company’s expansion into one of the world’s largest potential gaming markets.
Brazilian President Luiz Inácio Lula da Silva issued a provisional measure on September 25 banning the operation, offering, intermediation and advertising of fixed-odds betting and online gaming activities across the country. The measure took effect immediately upon publication but remains subject to action by the Brazilian Congress within the constitutionally prescribed period, which can extend to 120 days.
DigiPlus said it is taking the necessary steps to comply with the directive and is prioritizing an orderly response, including processing customer withdrawals and returning remaining customer funds within the required period. The company said the regulatory situation remains fluid while the legislative and legal processes continue.
Despite the disruption, DigiPlus said its current assessment indicates that the Brazilian development is not expected to have a material impact on its overall financial condition or operating results. The company said it will continue monitoring the situation and provide additional disclosures if material developments arise.
The Brazilian market had been part of DigiPlus’ international expansion strategy. The company launched its first Brazilian online gaming platform in September 2025 before temporarily pausing the operation in October to rework the platform and improve its alignment with local consumers.
DigiPlus later resumed its efforts to build its Brazilian business and said it had begun generating revenue from its gaming operations there. Company officials previously described the market as still being in an exploration phase, with revenue remaining relatively small compared with its Philippine operations.
The new Brazilian restrictions could nevertheless affect the company’s plans for international growth. Analysts cited by local business media have offered differing assessments of the potential financial impact, with some pointing to the company’s investment in Brazil while others noted that current earnings forecasts may not include significant contributions from the market.
Brazil’s government has also established a transition period for existing bettors. Under the provisional measure, customers have until 11:59 p.m. on October 5 to withdraw remaining balances, after which betting websites and applications are scheduled to be blocked.
The government has simultaneously begun cracking down on illegal betting activity. Authorities said a task force had already taken down hundreds of websites suspected of offering illegal online betting following the ban, while monitoring digital networks used to promote gambling platforms.
The Brazilian measure adds another regulatory challenge for DigiPlus as the company develops its international business. Beyond Brazil, the company is also preparing for a planned entry into South Africa, where it has obtained gaming licenses and is targeting a 2027 launch.
For now, DigiPlus is waiting for further developments in Brazil’s legislative and legal processes while complying with the immediate requirements of the provisional measure. The company maintains that the current situation is not expected to materially affect its overall financial or operating position.
