Codere reopens casino in Chiapas and renews permits in Mexico
The country is the group’s major market, representing 35% of its Q3 2018 EBITDA
Spanish casino multinational Codere reopened casino Bingo 777 in Chiapas district, Mexico, which had been closed for six years and returned to full activity with great success. “The previous government did not let us operate, and with this there is a negotiation process going on,” commented a business worker.
In January 2013 four casinos operated by Codere in Mexico, two in Tuxtla Gutierrez and two in Tapachula, were closed by the then state attorney general’s Office for incompliance with security measures. Of the four, two casinos were closed down completely by Codere but Bingo 777, which started operations in 2006, and Central Casino kept the facilities on tap for six years while facing legal process. Central casino remains closed to date.
However, such setbacks have not dampened Codere’s commitment in Mexico, where the company has just renewed gaming permits for the operation of 90 gaming halls owned by subsidiaries, Administradora Mexicana de Hipódromo(AMH) and Operadora Cantabriafor 15 years, until 2033, as well as the concession of the land for The Hippodrome of the Americas, for 25 years until the year 2048.
These milestones represent a new impetus to Codere’s business in Mexico, the market of major group operations which represented 35% of its Q3 2018 EBITDA and demonstrating the strength of local gaming legal and solid institutional framework, especially at a moment of change in government administration.
Mexico is a key region for Codere, where it operates more than 19,600 gaming terminals, 95 gambling establishments and 89 betting points, in addition operating the Hippodrome of the Americas (Mexico City), which represents 24% of the total turnover of the group. In addition to Mexico City and its metropolitan area Codere is present in the main regions throughout the country.
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