Corinthians has announced a R$370m (£59.8m/€69.4m/$75.9m) deal with VaideBet, the largest sponsorship in Brazilian football history.
Corinthians, one of the biggest clubs in Brazil and South America, will have VaideBet as their shirt sponsor for the next three years. The partnership is VaideBet’s first step into the football market.
The agreement follows the adoption of Bill 3,626/2023, according to which sports betting will soon be legal in the country.
Corinthians President Augusto Melo said: “We are very pleased to be able to offer Corinthians the largest sponsorship in the history of Brazilian football. We have always emphasized that Corinthians is the largest brand in South American football and one of the largest in the world.”
VaideBet CFO Andre Murilo added: “Sponsoring Corinthians means not only sponsoring one of the most important institutions in Brazil, but also a club with a very beautiful history and a fan base that is admittedly passionate, committed and unique.”
“It is a historic milestone for VaideBet that we have been planning for months and have now achieved.”
Corinthians would like to benefit from the approval of sports betting in Brasil
The historic passage of Bill 3,626/2023 and the impending regulation of sports betting have caused excitement in Brazil.
The head of state signed the bill on December 30. Brazil’s President Luiz Inácio Lula da Silva then made the regulation official and ratified a new regulatory framework for sports betting and igaming.
President Lula reportedly vetoed a proposed exemption from personal income tax for customer income below R$2,112. Net personal profits are taxed at 15%. Operators, meanwhile, are taxed at 12% of gross gaming revenue. The majority of this sum is allocated to sports development.
Next steps in Brazil include the release of regulatory guidelines for operators by the Ministry of Finance. Over 130 companies are reportedly interested in applying for a license.
Brazil: a long road to gambling approval
The road to gambling in Brazil has certainly had many twists and turns. The final leg of the journey began in May 2023 when the Brazilian government announced PM 1,182 for sports betting.
Lula gave the prime minister the all-clear and signed the law in July. However, the prime minister faced resistance, particularly from evangelical groups.
Bill 3,626/2023 made changes and added an online casino. The Chamber of Deputies approved this in September, bringing Brazil one step closer to gambling regulation.
Igaming was initially removed from the bill by the Senate. However, the Chamber of Deputies took it up again when the bill finally received the green light.