The Philippine Amusement and Gaming Corporation (Pagcor) is gearing up to launch its own online casino brand, casinofilipino.com, by the end of 2024. Alejandro Tengco, Pagcor’s chairman and chief executive, revealed the timeline during an interview at the Global Gaming Expo (G2E) Asia in Macau.

Strategic Partnership and Timeline

Tengco disclosed that Pagcor is in the final stages of selecting a joint venture partner from three shortlisted companies. “Out of the three companies we’ve talked to, I already have one chosen,” said Tengco, hinting at an announcement by July. The online casino is expected to be operational by the last quarter of 2024, provided negotiations proceed smoothly.

Joint Venture and Market Positioning

The joint venture aims to partner with a prominent name in the online gaming sector to ensure credibility and avoid a learning curve. Tengco emphasized that this initiative aligns with Pagcor’s broader strategy to transition from operational functions to a regulatory role. This strategic shift includes the modernizationandeventual privatization of its Casino Filipino venues.

Modernization and Privatization

Pagcor has initiated an upgrade of its Casino Filipino venues, starting with the procurement of over 3,000 new slot machines. This modernization is seen as a preparatory step before privatizing the Casino Filipino chain. Tengco outlined a phased approach: privatizing land-based operations first, followed by the online brand’s privatization. The privatization process is set to begin by late 2025 or early 2026.

Enhancing Casino Filipino’s Value

Casino Filipino operates over 40 branches and satellite casinos across the Philippines. The privatization process, while complex, is expected to enhance the value of Pagcor’s assets significantly. Tengco noted that the revenue from the online casino would bolster Pagcor’s overall privatization efforts, benefiting the agency and the Philippines.

Renovation and Equipment Upgrades

Renovation agreements for all leased buildings housing Casino Filipino venues have been reached, with several branches already undergoing renovations. Pagcor has also procured 1,968 slot machines from RGB International Bhd, valued at over $81.3 million. The machines, sourced from top brands like Light & Wonder, Aristocrat, Konami, and KL Saberi, are slated for delivery starting in July.

Future Plans and Regulatory Focus

Tengco mentioned plans to enhance gaming table offerings and acquire a new casino management system. The comprehensive upgrades are expected to attract more players and potential investors. Pagcor aims to purchase a total of 3,345 slot machines, with procurement for the second batch likely to commence before the last quarter of this year.

Assurances for Investors

As Pagcor transitions to a pure regulatory entity, the specifics of the privatization process are being formulated, including potential exclusivity rights for Casino Filipino branches. Tengco concluded that once Pagcor focuses solely on regulation, the Philippine gaming industry would become more dynamic, promoting fair competition and equitable growth.

The launch of casinofilipino.com and the strategic shift towards privatization mark significant steps in Pagcor’s evolution, aimed at strengthening the Philippine gaming sector while ensuring regulatory integrity.