One of Europe and Latin America's most recognisable gambling operators is on the block. With advisors hired and a summer deadline in sight, the race to acquire Codere is already taking shape.
One of the gambling industry's most geographically diverse operators is officially in play. Codere, which runs gaming operations across Spain, Italy and five Latin American markets, is being prepared for sale at a valuation north of €2 billion, according to reports from Spanish financial newspaper Expansión.
The company has engaged investment banks Jefferies and Macquarie Capital as advisors to manage the process. Interested parties are expected to submit non-binding offers by mid-May, with a binding purchase agreement targeted for completion before the August summer break. That is an aggressive timeline, signalling that Codere's shareholders are motivated to move quickly.
The ownership structure tells its own story. Codere's equity is currently distributed across around 84 investment funds, a fragmented shareholding base that is typical of a business that has passed through significant financial restructuring. That restructuring, completed in 2024, transformed the company's balance sheet, cutting corporate debt from a crippling €1.4 billion down to approximately €190 million. At the time, Codere described the recapitalisation as securing a "future of stability and growth" and positioning it to pursue further expansion across its key markets in LatAm and Europe.
That leaner financial profile is now the central selling point. A business carrying €190 million in debt is a fundamentally different acquisition proposition to one weighed down by €1.4 billion, and the timing of this sale process suggests the funds behind Codere are looking to capitalise on that improved position while market conditions are favourable.
Codere Online, the group's digital arm, is expected to be included in any transaction involving the wider business. That addition adds meaningful value to any potential acquirer, particularly those looking to build or expand an omnichannel presence across markets where Codere's retail footprint is already well established.
The question of who can actually afford the deal is where things get complicated. At over €2 billion, the price tag is expected to be beyond the reach of most realistic buyers. Two names have emerged as the most credible potential suitors: Allwyn International and Flutter Entertainment.
Allwyn closed its $1.6 billion acquisition of a 62.3% stake in US daily fantasy platform PrizePicks in January, and its CEO Robert Chvátal has publicly stated the company is actively exploring further merger and acquisition opportunities, with a particular focus on acquiring proprietary sportsbook technology. Whether Codere fits that strategic brief precisely remains to be seen, but Allwyn's appetite for dealmaking is clearly not satisfied.
Flutter, as the world's largest online betting and gaming operator, has both the financial firepower and the strategic logic to make a move. Codere's Latin American footprint in particular could be highly attractive to a group that has been steadily building its presence across the region.
Remaining in private equity hands is also a credible outcome, particularly if strategic buyers balk at the valuation or face regulatory complications in markets where they already hold licences.
A Clean Balance Sheet Changes Everything
Eighteen months ago, Codere was a business defined by its debt. The €1.4 billion liability hanging over the group cast a shadow over every conversation about its future. The 2024 recapitalisation changed that narrative entirely, and this sale process is the direct result. A business operating across seven markets with a manageable debt load and an established omnichannel presence is a genuinely attractive asset. The €2 billion-plus valuation reflects that transformation, and it is a figure that would have been unthinkable when the company was still carrying its previous debt burden.
Latin America Is the Real Prize
Spain and Italy provide Codere with a stable European base, but the real strategic value here lies in Latin America. Mexico, Argentina, Panama, Uruguay and Colombia represent a collection of markets at varying but generally early stages of regulated online gambling development. For any operator with ambitions in the region, acquiring Codere's existing infrastructure, brand recognition, licences and retail network would represent years of market entry work compressed into a single transaction. That omnichannel angle is particularly compelling in markets where the transition from retail to online is still playing out, and where having an established physical presence can be a significant competitive advantage.
The Timeline Creates Its Own Pressure
Targeting a signed deal before the August summer break is bold. M&A processes at this scale typically involve extensive due diligence across multiple jurisdictions, regulatory approvals in several countries simultaneously, and complex negotiations between a fragmented group of 84 fund shareholders who may not all share the same view on price or terms. Compressing all of that into a matter of weeks creates real execution risk. If the process slips past August, deal momentum can be notoriously difficult to rebuild. The advisors will be well aware of that dynamic, which likely explains why the non-binding offer deadline has been set so early in the process.
