Flutter Entertainment, listed on both the NYSE and LSE, has announced a significant move to secure 100 percent ownership of FanDuel, the leading US sports betting and iGaming operator.
This follows the extension of its strategic partnership with Boyd Gaming Corporation to 2038 and an agreement to acquire Boyd’s remaining five percent stake in FanDuel.
The transaction, valued at approximately US$1.755 billion (£1.29bn), brings Flutter’s ownership of FanDuel to full control at an implied valuation of roughly US$31 billion (£22.88bn).
As part of the deal, various existing commercial terms have been revised, resulting in reduced market access costs in states where Boyd facilitates FanDuel’s market entry.
These savings are expected to contribute about US$65 million (£47.98m) annually to Flutter, starting July 1, 2025.
Leader
FanDuel holds a strong position in the US market, leading with a 43 percent share in sports betting and 27 percent in iGaming.
Flutter cites these figures as evidence of FanDuel’s sustainable competitive advantages, supported by its proprietary ‘Flutter Edge’ technologies and operating systems.
The Irish-origin iGaming giant, now firmly ensconced in the United States, plans to fund the buyout through additional debt financing.
While this will temporarily increase leverage, the company expects it to decline over time, in line with its medium-term target leverage ratio of 2.0 to 2.5 times.
Transformative
The transaction remains subject to customary regulatory approvals and is anticipated to complete in the third quarter of 2025.
Commented Flutter CEO Peter Jackson: “Our acquisition of FanDuel in 2018 is one of the most transformational events in our group’s history.
“[We have] become the well-established and clear leader in US online sports betting and iGaming.
“I am really pleased to drive future value for our shareholders by increasing our ownership of FanDuel to 100 percent.
“Boyd have been fantastic partners for FanDuel, and we are delighted to be extending our important strategic partnership through to 2038.”
