Last August, MGM Resorts International announced that the company had formed a joint venture with Grupo Globo to enter the growing Brazilian sports betting and online gaming market. The two giants, one from the casino sector and the other from the communications one, will operate the BetMGM brand.
When announcing the JV, MGM Resorts CEO and Chairman Bill Hornbuckle, said: “This historic alliance allows us to quickly enter the market with the scale and experience to establish an initial position as a leading operator and provider of the best customer experience throughout Brazil.”
Now, invited to participle this Tuesday (24) at the Deutsche Bank’s 32nd Annual Leveraged Finance Conference, Jonathan Halkyard, Chief Financial Officer of MGM Resorts International, gave a broad overview of the company's current situation and the projects in different international markets where it plans to begin operations.
In a session moderated by Luis Chinchilla, from Deutsche Bank, Halkyard commented about the arrival of the brand to Brazil. “Grupo Globo is a very important media company in the country, and we've partnered with them to enter the Brazilian iGaming market.”
When asked about the characteristics of the agreement, he said: “This partnership is, in a way, the opposite of the one we have with Entain for BetMGM. In the JV with Grupo Globo, MGM is providing the technology, and Grupo Globo brings the customer acquisition of the fan-owned brands, and so on.”
“It will be a competitive market without a doubt, but it will be huge. We think Grupo Globo is the perfect partner to introduce our product to customers in the country.”
Halkyard also differentiated the JV with the Brazilian media giant from other operations carried out by the company in recent times. “The investment will be very modest as compared to any other deals we've done in the digital space or investments with BetMGM like LeoVegas or Push Gaming.”
And regarding the upcoming deadlines, he made it clear that the company is taking all steps to take advantage of the Brazilian market as soon as the new regulation comes into effect. “It is all formed, we are recruiting the management team, and we filed our licenses waiting for January 2025. Then, with our technology and Grupo Globo’s customer relationships, we'll be ready to start operating.”
Source: GMB
