Allwyn said Betano was preparing legal action to protect its rights in Brazil, the brand’s largest market. Entain said it now expected to reach the lower end of its full-year 2026 guidance ranges, while Better Collective shares fell 25%.
The shutdown and reported market effects could affect operators’ legal plans and financial outlooks in Brazil.
Quarter ended 30 June 2026
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Brazil’s National Association of Games and Lotteries and the Brazilian Institute for Responsible Gaming criticised a government decision to ban online gambling, saying it could push customers towards unregulated sites. The associations cited licensed-platform use, consumer protections and potential economic effects; the IBJR cited a forecast of R$58bn to R$73bn in revenue at risk between 2027 and 2030. Allwyn said the temporary measure could remain in force until early March 2027, subject to congressional action.
Flutter said Brazil’s online gambling ban is expected to reduce its 2026 revenue by approximately $70m and EBITDA by around $20m. Allwyn said it was assessing mitigations and preparing legal action to protect its five-year operating licence for Betano’s parent, Kaizen Gaming. The report also said Betano plans to enter four additional countries in early 2027.
Better Collective’s shares fell 37.16% over five days following Brazil’s betting ban announcement. Flutter’s shares declined 11.52% over the same period. It was reported that Better Collective estimated a €15m impact for the rest of 2026 and suspended its 2027 guidance.
Better Collective's share price fell 37.16% over five days following the announcement of a provisional measure to ban online gambling in Brazil, according to share price data cited in a report on 29 September 2026. The report said the decline came five days after President Lula's announcement and ahead of the first round of the election on 4 October.
Conmebol has used virtual overlays to show Brazilian viewers institutional messages or other sponsors in place of betting brands displayed on LED boards at its club tournaments. The technology was applied during the ESPN and SBT broadcast of Vasco’s 1-0 win over Boca Juniors on 13 October, and is expected to continue at matches played in Brazil. Sportingbet said it was assessing its Conmebol contract after the betting advertising ban took effect.
Conmebol has used virtual overlays to replace betting advertising with institutional messages or other sponsors' advertising for Brazilian viewers during broadcasts of its club competitions, according to a report. The technology was applied on 13 October during the ESPN and SBT broadcast of Vasco's 1-0 win over Boca Juniors, while channels in other countries showed Bwin branding on the LED boards. Conmebol is expected to continue using the mechanism at matches played in Brazil in the Copa Libertadores and Copa Sul-Americana.
Allwyn said its previous 2026 Adjusted EBITDA margin guidance of about 37% would no longer apply if Brazil's prohibition on online sports betting and iGaming remains in force through year-end. The company is assessing the effect on its 36.75% stake in Kaizen Gaming; Betano is evaluating mitigation measures and preparing legal action, Allwyn said.