Sale reportedly afoot
Citing multiple market sources, Spain’s leading business and economy newspaperhas revealed the European country’s second-largest gambling group is going on sale for more than €2bn ($2.32bn).
As reported by Expansión, Codere has hired Jefferies and Macquarie Capital to advise on the imminent sale of the company.
indicative bids are reportedly expected by mid-May
While the sale process is in its early stage, indicative bids are reportedly expected by mid-May and binding offers expected early July. The aim is for a deal to be reached before the August summer break.
Fall of a giant
Codere’s ownership is held by more than 80 investment funds. It has been that way since a 2024 debt-for-equity deal ended the founding Martinez Sampedro family’s control over the firm, which is Spain’s second-largest gambling and leisure group.
That same year, Codere inked a recapitalisation deal to reduce its corporate debt from €1.4bn to around €190m ($164.2m).
The objective of the debt reduction, namely to target further expansion in LatAm and Europe, is now moot with Codere’s imminent sale, leaving market leaders Blackstone-owned Cirsa with an open field.
Codere could remain under private equity if industrial and financial investors choose to bid
Reports state Codere could remain under private equity if industrial and financial investors choose to bid, while industry experts suggest Allwyn International and Flutter Entertainment could also emerge as would-be buyers.
Wide footprint
Established in Madrid in 1980, Codere operates in regulated retail and online gambling markets across its home country, Italy, Mexico, Panama, Colombia, Argentina, and Uruguay.
Chief shareholder is New York-headquartered Davidson Kempner Capital Management with a 13.3% stake, followed by Palmerston Capital, Deltroit Asset Management, System 2 Capital, and Invesco.
The sale would also include Codere Online, the group’s Luxembourg-based, Nasdaq-listed digital arm.
