Cirsa acquires 70% stake in Peru’s Apuesta Total

Cirsa, a Spain-based company, has acquired a controlling stake in Peru-based rival Apuesta Total, indicating that the European betting giant has no intention to draw down from the Latin American region.

The news was confirmed by Cirsa itself in an official press release shared with the media, amid rumors that the company may be seeking an Initial Public Offering (IPO) and is beefing up its portfolio ahead of such a move.

Cirsa secures majority stake in Apuesta Total

Although speculative, this would make sense for Cirsa, which has already hinted at the possibility of going public before in a bid to raise additional capital. Speaking of capital, the exact financial details of the transaction with Apuesta Total have not been disclosed.

Explaining the deal to investors, Cirsa said that it had been keeping an eye on the emerging Peruvian gambling market, which has only just recently emerged on the scene this year.

"The operation is consistent with our acquisition strategy, focused on the online sector, and positions Cirsa as a key player in the emerging Peruvian online gambling and betting market, which has been regulated since March 2024, strengthening our omnichannel strategy in Latin America."

Apuesta Total operates 500 betting shops across Peru, along with online sports betting and casino offerings, and is part of the FREE GAMES B.V. company, an entity comprising of Peruvian investors. Cirsa will seek to carry out a full acquisition of Apuesta Total, as it will be buying the remaining 30% of the company at a yet undetermined time over the next years.

Cirsa has assuaged investor worries that it may be disbursing too much money for the acquisition of Apuesta Total, which was completed in cash, with the firm assuring that its leverage has not been significantly impacted, arguing that it had paid market price for the deal.

Cirsa intends to dominate the Latin American betting market

This move is ambitious but it also follows a natural progression for Cirsa as a behemoth not just in the European iGaming and sports betting scene with market presence in Italy and Spain. It similarly fleshes out the company’s ambitions for Latin America with the company already driving forays in Colombia, CostaRica, Mexico, and Panama.

Cirsa has made no mention of a potential IPO in its official press release, although market observers believe that the company would need to go public to secure additional cash for its war chest if it’s to maintain its expansion in Latin America.

Image credit: Unsplash.com