Codere Online CEO says prediction markets are a 'realistic option' as company plans new five-year strategy

Codere Online is watching the prediction markets sector closely, according to chief executive Aviv Sher, who described it as a "realistic option" for the operator in an interview with iGB. The company has not yet entered the space, but Sher said a move could come as soon as next year.

Sher first raised the idea in May, when he suggested prediction markets could be a "really nice extension" to the existing offering. He now says the product could suit certain geographies, noting that it would complement the company's strategy in Mexico aimed at Spanish-speaking people in the southern part of the US. "I think prediction markets can be a nice addition to our portfolio," he said.

The interview comes after a strong run for the business. Codere Online raised its FY2026 guidance after a second quarter in which it reported record net gaming revenue of €69.4 million ($77.6 million) and adjusted EBITDA of €5.8 million. It now expects full-year NGR of €255 million to €265 million and adjusted EBITDA of €20 million to €25 million. Sher said the company is "pretty sure" it will meet the new targets. A new five-year plan is being drawn up, with the aim of substantially increasing revenue. Sher said the company chose to invest extra money in its current markets rather than maximise EBITDA.

Mexico and Spain are the two core markets, together contributing €63.7 million in NGR in the second quarter, with each growing by more than 20% year on year and accounting for over 90% of the total. Sher wants greater regulatory stability in both. Mexico raised its tax rate to 50% of GGR from the start of 2026, while Spain's regulator will introduce joint deposit limits in 2027, with further changes seemingly on the way.

Sher was critical of the Spanish approach, arguing that the regulator's goal is to lower GGR while the company wants to grow it and pay more tax. He argued that a lack of enforcement against unlicensed operators lets the black market expand while licensed businesses face more restrictions, which he said hurts operators, players and government tax revenues alike.

In Mexico, Codere Online is also building its position through a multi-year agreement with the NFL, signed last month. Sher said the deal gives it betting promotion opportunities during NFL games that competitors lack, in a market where American football has an established following. He added that the company tries to assess the return on sponsorships, and expects to see the ROI after a few years.