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New clause in the concession could affect Flamengo's earnings from advertising boards at Maracanã

Government imposes that only advertisements for bets already registered with Loterj can be displayed

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The company Fla-Flu Serviços S.A. was finally registered with the Rio de Janeiro Commercial Board last week, paving the way for the signing of the Maracanã concession contract for the next 20 years. However, a new clause inserted in the contract, due to the delay in formalization by Flamengo and Fluminense, could impact profits of Flamengo with advertising boards in the stadium.

At the beginning of 2023, Flamengo sold to Brax the right to operate advertising boards in the Brazilian Championship from 2025 onwards. However, until the end of this year, the club is still responsible for directly negotiating the advertisements shown at Maracanã.


As in much of the Brazilian football in recent years, a large part of the advertisements on the stadium signs are from betting houses. However, on August 12, the Civil House Secretariat accepted a request from Loterj to include a clause in the contract that will be signed by Fla-Flu Serviços S.A. in the coming days.


“13.5. The CONCESSIONAIRE is prohibited from advertising/publicizing and/or merchandising, directly or through an intermediary company, within the scope of the Maracanã Complex, of Betting Houses that do not have a formal grant from the Lottery of the State of Rio de Janeiro – LOTERJ or the Federal Union , according to Decree No. 48,806/23.”

The process of granting licenses by the federal government is still ongoing, which led the Court to prohibit the operation of companies not authorized by Loterj in Rio de Janeiro. Currently, only five companies, including Pixbet, are authorized to operate in the state.

Flamengo attributes increased profits to the growth of betting shops

Loterj reopened on the 5th , a period of 15 days for companies to regularize themselves, paying a grant of R$5 million, in addition to 5% of the monthly revenue generated by betting. It is not yet clear whether some of the 115 companies banned from operating at the stadium will accept to pay the grant or will continue to fight in court to act based on the national license.


If Fla-Flu Serviços S.A. signs the Maracanã contract , it must comply with the new clause and suspend advertising from companies that are not accredited by Loterj until the federal regularization process is completed. This includes, for example, Superbet, sponsor of Fluminense.

In 2023, Flamengo raised around R$40 million from the sale of advertising signs, a significant increase compared to previous years, driven by the boom in betting houses, according to the club's own marketing department.

The agreement with Brax , in turn, involves a total value of R$330 million until 2029. The company will also have to comply with the imposed clause, but the expectation is that, until the contract comes into force, the process of regularizing bookmakers with the federal government is already completed.



Soccer

Lineup: With changes, Flamengo announces the starters who will face Peñarol at Maracanã

The teams play the first game of the quarterfinals at 7 p.m.

Gilvan de Sousa/CRF
Gilvan de Sousa/CRF

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Tite defined Flamengo and announced the 11 starters who will face Peñarol, this Thursday, at Maracanã, at 7pm. De la Cruz returns to the starting lineup in place of Léo Ortiz, and Alex Sandro and Plata were retained. The duel with the Uruguayans is the first between the teams in the quarter-finals of the Copa Conmebol Libertadores. Follow the Red and Black lineup:Rossi, Varela, Fabrício Bruno, Léo Pereira and Alex Sandro; Pulgar, De la Cruz, Gerson and Arrascaeta; Plata and Bruno Henrique.

Alex Sandro and Plata, debutants in last Sunday's classic, remain in the team after having good performances in the draw against Vasco. Gabigol is now out of the relationship due to fibrosis in the posterior muscle of his right thigh. Flamengo, in a statement, reported that the athlete did not suffer any injury in the region. Check it out:


"The Clube de Regatas do Flamengo informs that the athlete Gabriel Barbosa underwent tests that did not diagnose an injury to the posterior muscle of his right thigh. However, the Technical Committee opted for precaution and did not list him for the duel against Peñarol due to fibrosis in the region. Gabi is handed over to physiotherapists and physical trainers for the series of decisive games of the season."




Soccer

CONMEBOL Libertadores | Flamengo x Peñarol (URU) - Follow live

Match starts at 7pm this Thursday

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Flamengo faces Peñarol (URU) in the first game of the CONMEBOL Libertadores quarter-finals and, here, you can watch the broadcast, live, with 2h30 of pre-game, interviews, the team's arrival at Maracanã and everything more.

Follow the match live here:





Soccer

Government vetoes disqualified "bets" in Maracanã concession to Flamengo and Fluminense

Bookmakers without a license with Loterj or the Federal Union will not be able to display their brands in the stadium complex

Photo: Tripadvisor
Photo: Tripadvisor

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After prolongation for another 60 days to sign the contract with the company formed by Flamengo and Fluminense, the Government of Rio de Janeiro imposed a new condition for the Maracanã concession. The Secretary of the Civil House added a clause that imposes the need for accreditation of betting houses with the Rio de Janeiro State Lottery (Loterj) or the Federal Union to display their brands in the stadium complex.

The measure was a request of Loterj, to adapt to “compliance with applicable legislation in force in Brazil”, including tax legislation, as provided for in the notice released last year. There is a process for regulating “bets”, with 25 companies in the accreditation process with the Federal Union. Of these, 15 were admitted this week.

The deadline for the accreditation stage ends next Tuesday (20) and the company's approval or disapproval will be given by the end of the year. From January 1, 2025, only bets that comply with Brazilian legislation will be able to operate in Brazil.


Flamengo's master sponsor, Pixbet, is one of the five bookmakers that already has accreditation with Loterj, the others Apostau, Bestbet, Rio Jogo and Marjosports. Last Tuesday, the Deliberative Council approved the creation of “Flabet”, which has not yet entered the federal regularization process, but, as it is operated by Pixbet, will have permission to operate in Rio de Janeiro. p>

Fluminense has Superbet as a sponsor, a company that was the second to enter the accreditation process with the Federal Union.


In a note sent to GE, Tricolor stated that "the clause mentions the need for authorization from LOTERJ or the Federal Union. Federal regulation (ORDINANCE SPA/MF Nº 827, OF MAY 21, 2024) establishes that the adaptation period for legal entities that were active in Brazil ends on May 31 December (art. 24). It also establishes that anyone who requested authorization by August 20th will have the request analyzed by December 31st (art. 23). This may only happen on January 1/25 for those who do not have authorization. The SPA website publishes that it made the requests and Superbet is there: https:// Sigap.fazenda.gov.br/consulta-publica/lista-solicitacoes."

For Loterj, the grant is R$5 million for operations in the state of Rio de Janeiro. For the Union Federal, together with the Ministry of Finance, the grant is R$ 30 million. Loterj's license has a 5% tax rate on bookmaker profits, while in the Union it is 18%.




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