Portugal Opens Tender for Five New Casino Licenses

Portugal Opens Tender for Five New Casino Licenses

Portugal is preparing for a reshaping of its land-based casino sector, with authorities launching a competitive tender process for five new licenses. These concessions, valid for 15 years, will be distributed across three major regions: Algarve, Espinho, and Póvoa de Varzim. The decision sets in motion a process that could redefine market dynamics and attract both domestic and international operators seeking long-term presence in the Portuguese market.

The upcoming licenses are not evenly allocated. Espinho and Póvoa de Varzim will each see the introduction of a single concession. At the same time, the Algarve will account for three separate licenses, earmarked for the areas of Vilamoura, Monte Gordo, and Barlavento. This regional distribution reflects a strategic approach by regulators, targeting locations with established tourism infrastructure and potential for further growth in leisure-oriented services.

Currently, operations in these areas are concentrated under two primary players. Estoril Sol holds the concession in Póvoa de Varzim, while Solverde oversees casinos in Espinho, Vilamoura, and Monte Gordo. However, these longstanding arrangements are not guaranteed to continue. The upcoming tender process requires all interested parties, including current operators, to submit proposals under equal conditions, eliminating any presumption of automatic renewal. For incumbents, this introduces a period of uncertainty. Failure to secure a concession could result in the loss of operational rights for the next decade and a half, while success would reinforce their market positions.

The submission deadline for bids is set for September 2, 2025. This timeline provides operators with several months to prepare proposals that meet the detailed regulatory requirements and financial obligations laid out in the tender documentation. Beyond the headline opportunity, the process highlights Portugal’s intent to strengthen competition, encourage investment, and maintain high standards of compliance across its land-based gaming sector.

Acquiring one of these licenses involves more than strategic intent; it requires substantial financial commitment. The concession fees have been fixed at different levels depending on location. In the Algarve, applicants will face a fee of €31 million. Espinho carries a higher cost of €36 million, while the Póvoa de Varzim license will require €33.7 million. These figures underscore the scale of investment necessary to secure a position in the market. For potential bidders, this means detailed financial planning, given that the licensing cost is only the starting point for broader capital expenditure on infrastructure, staff, and regulatory compliance.

The tender is also subject to strict eligibility conditions. Applicants must demonstrate at least five years of experience operating games of chance and provide evidence of business success in the last two years. This track record can originate from operations within Portugal or in other regulated jurisdictions, signaling openness to international contenders provided they meet the operational and compliance benchmarks.

The evaluation process will not rely on price alone. Authorities will assess proposals using a weighted methodology that factors in contributions to the state in terms of gross gaming revenue share, annual fixed fees, and proposed variable minimum payments. This comprehensive approach suggests that decision-makers aim to balance fiscal returns with operational sustainability, rather than focusing solely on immediate revenue.

Ownership of gaming equipment is another consideration. In most locations, successful bidders will acquire rights to the existing infrastructure, reducing transition friction. The exception is Barlavento, where different rules for equipment transfer apply, adding an extra layer of complexity for those interested in that specific license.

The introduction of new concessions, combined with the renewal challenge for existing ones, signals a shift toward a more competitive and transparent licensing framework. For Portugal, the move aligns with broader objectives of reinforcing regulatory integrity while ensuring that operators are both financially sound and operationally capable. For operators, the stakes are considerable. A successful bid secures long-term market access, but failure could mean a 15-year absence from one of Europe’s regulated gaming environments.

The September 2025 deadline will mark the conclusion of this tendering phase, but the competitive dynamics it sets in motion are likely to shape the sector for years. Observers and stakeholders alike will be watching closely to see which operators emerge as frontrunners in this high-stakes contest for long-term market positioning.