Swedish iGaming giant Betsson has recently invested heavily into expanding into new markets as it seeks to continue to grow its business. The online sports betting and casino operator acquired a 50% stake in JDP Tech, a company offering payment processing focused on the South American market.
Through Betsson Perch Investments, a subsidiary of Betsson, the iGaming operator paid a total of €8.8 million in shares to JDP tech in order to obtain a 50% stake. JD Tech is a software development company focusing on payment processing solutions, a vital part of any iGaming company.
According to Pontus Lindwall, CEO of Betsson, the deal is an integral part of Betsson’s long term strategy. He said: “This is a strategically important region for Betsson, and we see great potential for the company in the long term. With this major investment, Betsson is well-positioned to further expand our business in the Latin American online gaming market.”
Why Payment processing is Important for the Latin American Market
Payment processing is important in any market, with consumers preferring to use sites that offer fast and secure payments without complicated requirements or rules. In Latin America, the iGaming market is expanding rapidly, and there’s a need for sites offering convenient payments.
Latin American users expect to be able to deposit funds to their account quickly using their preferred method, and withdrawals should be fast and simple too. It’s important that iGaming sites listen to the needs of the consumers and ensure that a wide range of popular payment methods are supported. For this, good payment processing software is an integral part of a site.
Latin American consumers have a growing number of options to choose from when it comes to iGaming, so they’re likely to join a competitor if the site they’re using doesn’t offer the kind of service they expect.
How Betsson Aims to Expand in Latin America
Betsson has been targeted the Latin American market for some time now, and this recent acquisition represents part of the company’s long-term strategy in this area of the world. In 2019, Betsson purchased a 75% stake in Suaposta, a Brazillian sports betting operator. This move came shortly after Brazil passed new sports betting regulations and aimed to put Betsson in the best position for the deregulation of the sports betting market.
Last year, Betsson also entered the Colombian market, buying a 70% stake in Colbet as it looked to expand its South American operations. In addition to this, Betsson is aiming to obtain an operating licence in Buenos Ares, Argentina.
In Mexico, the Swedish betting giant entered into a partnership with Big Bola Casinos, aiming to launch a sports betting service in later 2021. Big Bola Casinos is one of the few gambling operators licenced by the government of Mexico, giving Betsson an excellent opportunity to establish itself in a relatively undeveloped market.
These moves show that Betsson is serious about entering the Latin American market and is looking to become one of the biggest sports betting operators in the area. Through continued investments and partnerships, Betsson has taken steps to grow its business and bringing safe and convenient sports betting to a wider market.
