Connect Yorkshire sponsor Flutter Entertainment, the sports betting group behind Paddy Power, Betfair and Sky Betting and Gaming, has agreed a deal to acquire full ownership of the FanDuel business in the US.
The group, which is listed on the London and New York stock exchanges, will pay Boyd Gaming Corporation about $1.76bn to acquire its 5 per cent stake in FanDuel and to revise various existing commercial terms.
The deal will take Flutter’s holding in the sports betting and igaming business in the US to 100 per cent, at an implied valuation of approximately $31bn.
The agreement also includes the extension of the strategic partnership between FanDuel and Boyd at significantly reduced market access costs in the states where FanDuel’s market access is provided by Boyd.
Peter Jackson, Flutter chief executive, said: “Our acquisition of FanDuel in 2018 is one of the most transformational events in our group’s history, with its natural competitive advantages combined with access to Flutter Edge capabilities driving impressive growth to 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 per cent. Boyd have been fantastic partners for FanDuel, and we are delighted to be extending our important strategic partnership through to 2038.”
The deal is subject to customary closing conditions, including the receipt of certain regulatory approvals, and is expected to complete in the third quarter of 2025. It will be funded by additional debt financing.
Flutter and a number of its subsidiaries have also entered into a bridge credit agreement with certain banks to secure a $1.75bn facility.
Article via insidermedia.com
