Philippines gaming regulator to sell off casinos in 2026
Alejandro Tengco, the esteemed chairman and CEO of the Philippine Amusement and Gaming Corporation (Pagcor), has officially announced a strategic transition within the organization: the divestiture of its casino assets will initiate in 2026. This response aligns with the growing demand from lawmakers for Pagcor to separate its regulatory functions from its operations as a casino operator.
During a recent gaming conference in Manila on September 10, Tengco articulated his vision: “From day one, we have been vocal about our intention to focus solely on Pagcor’s regulatory role.” This pivotal shift aims to establish a level playing field for all stakeholders, ensuring that Pagcor does not compete against its own licensees. The timeline for the commencement of sales has been adjusted from its initial plan of 2025 to the following year.
### Up to 45 Pagcor Gaming Halls Available
The decision to divest has garnered significant attention, particularly as lawmakers have criticized Pagcor’s dual role, citing a clear conflict of interest. Currently, Pagcor oversees a diverse portfolio comprising 45 gaming halls, including nine under the prestigious Casino Filipino brand. Tengco has projected that this strategic sale could yield ₱50 billion (approximately £682 million / €807 million / $891 million).
In preparation for this transition, Pagcor is committed to enhancing the value of these assets. This month, the corporation will introduce 2,000 new slot machines across its gaming halls, all situated on leased properties. These upgrades are intended to maximize the intrinsic value of the sites ahead of the impending sale.
Tengco affirms, “With these initiatives and our ongoing preparations, we are confident that the Philippines will uphold its status as a leader in gaming industry innovations within the Asia-Pacific region.”
The announcement has been met with enthusiasm from industry titans, including casino mogul Kevin Tan, one of the Philippines’ wealthiest individuals. Tan praised the decision, stating, “This move will foster fairness among industry participants and ensure long-term growth and sustainability for the gaming sector.” Tan is the owner of Alliance Global Inc., which manages the Newport World Resorts in Manila and is actively developing casino resorts in both Boracay and Cebu.
### Commitment to Supporting Casino Workers
In a responsible move to mitigate the impact of the sale on employment, Tengco has pledged support for casino workers affected by the divestiture. He indicated that successful bidders will be required to retain 50% to 70% of the current workforce, ensuring job security for many. Those unable to be retained will receive severance packages, demonstrating a commitment to corporate social responsibility during this transition.
Before the sale commences, Pagcor must amend its charter, a procedural step expected to take place in the upcoming year. This legislative adjustment is pivotal for the smooth execution of the divestiture strategy and for reinforcing the integrity of the regulatory framework governing the gambling sector.
As the landscape of the Philippine gambling industry evolves with these developments, stakeholders must remain vigilant and adaptable to ensure sustained growth and integrity within the market.
