BORACAY , Philippines — The Philippine Amusement and Gaming Corp. (PAGCOR) is targeting to complete its exit from casino operations by the third or fourth quarter of 2027, as the state gaming regulator moves closer to securing government approval for the privatization of its Casino Filipino business.
PAGCOR chairman and CEO Alejandro Tengco said the Governance Commission for Government-Owned or -Controlled Corporations (GCG) is expected to submit its recommendation on the proposed decoupling to the Office of the President within October.
Decoupling refers to the separation of PAGCOR’s commercial casino operations from its regulatory functions, allowing the agency to focus on overseeing the gaming industry rather than competing with the private operators it regulates.
Asked what will happen once the proposal secures presidential approval, Tengco said, “Then we execute.”
He expressed confidence that PAGCOR would be in a stronger position by the third or fourth quarter of 2027, following the proposed restructuring.
PAGCOR currently has 35 casinos under its network, of which 12 are operated entirely by the agency while 23 are covered by revenue-sharing arrangements with private partners.
The gaming regulator expects to raise between P20 billion and P30 billion from the proposed privatization, although Tengco said the final valuation has yet to be determined.
He also said several existing gaming licensees have already expressed interest in acquiring Casino Filipino operations, including major casino operators in Entertainment City.
“Some have already expressed strong interest in participating,” he said.
He expects PAGCOR’s existing revenue-sharing partners to bid for the casinos they currently operate rather than risk losing the businesses to competing investors.
Investors were also particularly interested in casinos located in key cities. Among PAGCOR’s wholly owned casinos, Cebu generates the highest revenue, followed by Tagaytay, Angeles, Davao and Malabon.
The planned privatization comes as Casino Filipino continues to incur substantial operating losses, largely due to mounting personnel expenses.
Tengco said losses are expected to reach at least P7 billion this year, worsening from approximately P6 billion in 2025.
“Casino Filipino is bleeding like mad,” he said, citing the significant cost of maintaining its workforce.