Flutter secures 100% ownership of FanDuel through new agreement with Boyd
Flutter Entertainment (NYSE: FLUT) has announced a significant agreement to acquire Boyd Gaming Corporation's 5% stake in FanDuel for approximately $1.755 billion, increasing Flutter's ownership to 100%. The deal values FanDuel at approximately $31 billion.
The agreement also extends Flutter's strategic partnership with Boyd Gaming through 2038, featuring reduced market access costs in states where Boyd provides FanDuel's market access. This is expected to generate annual savings of $65 million starting July 1, 2025.
FanDuel maintains a dominant market position with 43% market share in sports betting and 27% in iGaming. The transaction will be funded through additional debt financing and is expected to complete in Q3 2025.
Flutter Entertainment (NYSE: FLUT) ha annunciato un accordo importante per acquisire la quota del 5% di Boyd Gaming Corporation in FanDuel per circa 1,755 miliardi di dollari, portando la partecipazione di Flutter al 100%. L'operazione valuta FanDuel intorno a 31 miliardi di dollari.
L'accordo estende inoltre la partnership strategica di Flutter con Boyd Gaming fino al 2038, con costi di accesso al mercato ridotti negli stati in cui Boyd facilita l'accesso di FanDuel. Si prevede un risparmio annuo di 65 milioni di dollari a partire dal 1° luglio 2025.
FanDuel mantiene una posizione dominante con una quota di mercato del 43% nelle scommesse sportive e del 27% nel settore iGaming. La transazione sarà finanziata tramite un ulteriore indebitamento e dovrebbe concludersi nel terzo trimestre del 2025.
Flutter Entertainment (NYSE: FLUT) ha anunciado un acuerdo significativo para adquirir la participación del 5% de Boyd Gaming Corporation en FanDuel por aproximadamente 1.755 millones de dólares, aumentando la propiedad de Flutter al 100%. El acuerdo valora a FanDuel en aproximadamente 31 mil millones de dólares.
El acuerdo también extiende la asociación estratégica de Flutter con Boyd Gaming hasta el 2038, con costos reducidos de acceso al mercado en los estados donde Boyd facilita el acceso de FanDuel. Se espera un ahorro anual de 65 millones de dólares a partir del 1 de julio de 2025.
FanDuel mantiene una posición dominante con una cuota de mercado del 43% en apuestas deportivas y del 27% en iGaming. La transacción se financiará mediante deuda adicional y se espera que se complete en el tercer trimestre de 2025.
Flutter Entertainment (NYSE: FLUT)는 Boyd Gaming Corporation의 FanDuel 5% 지분을 약 17억 5,500만 달러에 인수하는 중요한 계약을 발표했으며, 이를 통해 Flutter의 소유 지분이 100%로 증가합니다. 이번 거래는 FanDuel의 가치를 약 310억 달러로 평가합니다.
이번 계약은 Boyd Gaming과의 전략적 파트너십을 2038년까지 연장하며, Boyd가 FanDuel의 시장 접근을 제공하는 주에서 시장 접근 비용이 감소합니다. 이로 인해 2025년 7월 1일부터 연간 6,500만 달러의 절감 효과가 예상됩니다.
FanDuel은 스포츠 베팅 시장 점유율 43%와 iGaming 시장 점유율 27%로 지배적인 시장 위치를 유지하고 있습니다. 이번 거래는 추가 부채 조달을 통해 자금을 마련하며, 2025년 3분기에 완료될 예정입니다.
Flutter Entertainment (NYSE : FLUT) a annoncé un accord important pour acquérir la participation de 5 % de Boyd Gaming Corporation dans FanDuel pour environ 1,755 milliard de dollars, portant la participation de Flutter à 100 %. La valorisation de FanDuel est estimée à environ 31 milliards de dollars.
L'accord prolonge également le partenariat stratégique de Flutter avec Boyd Gaming jusqu'en 2038, avec des coûts d'accès au marché réduits dans les États où Boyd assure l'accès au marché de FanDuel. Cela devrait générer des économies annuelles de 65 millions de dollars à partir du 1er juillet 2025.
FanDuel conserve une position dominante avec une part de marché de 43 % dans les paris sportifs et de 27 % dans l'iGaming. La transaction sera financée par un endettement supplémentaire et devrait être finalisée au troisième trimestre 2025.
Flutter Entertainment (NYSE: FLUT) hat eine bedeutende Vereinbarung zur Übernahme des 5%igen Anteils von Boyd Gaming Corporation an FanDuel für etwa 1,755 Milliarden US-Dollar bekannt gegeben, wodurch Flutters Eigentumsanteil auf 100% steigt. Die Bewertung von FanDuel liegt bei etwa 31 Milliarden US-Dollar.
Die Vereinbarung verlängert zudem die strategische Partnerschaft zwischen Flutter und Boyd Gaming bis 2038 und sieht reduzierte Marktzugangskosten in den Bundesstaaten vor, in denen Boyd FanDuels Marktzugang ermöglicht. Ab dem 1. Juli 2025 werden jährliche Einsparungen von 65 Millionen US-Dollar erwartet.
FanDuel hält eine dominante Marktposition mit einem Marktanteil von 43% im Sportwettenbereich und 27% im iGaming. Die Transaktion wird durch zusätzliche Fremdfinanzierung finanziert und soll im dritten Quartal 2025 abgeschlossen werden.
- Acquisition of remaining 5% stake gives Flutter complete control of FanDuel at $31B valuation
- Expected annual cost savings of $65M from reduced market access fees starting July 2025
- FanDuel holds dominant #1 position with 43% sports betting and 27% iGaming market share
- Strategic partnership with Boyd extended through 2038 with improved terms
- Transaction will increase Flutter's leverage ratio above target range of 2.0-2.5x
- Significant debt financing required with $1.75B bridge credit agreement
- Higher interest costs with Term SOFR plus 1.25% margin, subject to step-ups
Insights
Flutter's $1.755B acquisition of Boyd's 5% FanDuel stake secures 100% ownership at favorable valuation with significant cost savings.
Flutter's acquisition of Boyd Gaming's 5% stake in FanDuel for
The deal's economics are particularly compelling. Flutter is securing the remaining minority interest at an implied valuation that recognizes FanDuel's dominant
While the transaction will be debt-financed and temporarily increase Flutter's leverage ratio, management remains committed to their medium-term leverage target of 2.0-2.5x. The company's confidence in maintaining this range despite the additional
The timing is strategic – Flutter is consolidating complete control of its crown jewel asset at a moment when the US sports betting market continues to expand state-by-state. The revised market access costs in Boyd-affiliated states create meaningful margin enhancement potential, reinforcing Flutter's confidence in FanDuel's long-term adjusted EBITDA trajectory despite regulatory headwinds.
NEW YORK, July 10, 2025 (GLOBE NEWSWIRE) -- Flutter Entertainment (NYSE: FLUT; LSE: FLTR) (“Flutter”) the world’s leading online sports betting and iGaming operator today announces the extension of its long-term strategic partnership with Boyd Gaming Corporation (“Boyd”) to 2038 and the buyout of Boyd’s
Under the terms of the Agreement, Flutter will pay Boyd approximately
The Agreement delivers on key strategic objectives at attractive economics:
- Increased ownership of the market #1: This transaction secures
100% 3 ownership of FanDuel, the premier asset in the US sports betting and iGaming market. FanDuel is the clear number one in the market with a43% market share in sports betting and27% in iGaming5, driven by key sustainable competitive advantages, including access to the ‘Flutter Edge’. - Leveraging scale to drive more efficient market access costs, benefiting long-term adjusted EBITDA6 margin: This transaction delivers more attractive market access terms in states where FanDuel’s market access is provided by Boyd4 and is expected to contribute annual operating cost savings of approximately
$65m . The savings are expected to be generated from July 1, 2025, and further underpin Flutter’s confidence in the long-term profitability profile of its US business, demonstrating the ability to help mitigate both recent and future tax increases7.
The transaction is subject to customary closing conditions, including the receipt of certain regulatory approvals, is expected to complete in Q3 2025, and will be funded by additional debt financing. Leverage8 is expected to increase but then reduce given the highly visible profitable growth opportunities that exist across the Group, and Flutter remains committed to its medium-term leverage ratio of 2.0-2.5x.
Peter Jackson, CEO, commented:
“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
Bridge Credit Agreement
On July 10, 2025, Flutter and certain of its subsidiaries also entered into a definitive bridge credit agreement (the “Bridge Credit Agreement”) with certain banks to obtain binding commitments in respect of a senior secured first lien term loan comprising an aggregate principal of US
Flutter plans to use the Facility to (directly or indirectly):
- finance or refinance amounts payable in connection with the transactions described above
- pay fees and/or expenses in connection with the foregoing; and
- finance general corporate purposes and working capital of the group
The Facility will:
- mature 12 months after first utilization of the Facility, with two additional six-month extension options; and
- bear interest at a per annum rate equal to Term SOFR plus an applicable margin equal to
1.25% , which shall be subject to certain step-ups over the term of the Facility.
The other terms of the Bridge Credit Agreement are substantially similar to the terms of the Term Loan A, Term Loan B and Revolving Credit Facility Agreement dated as of November 24, 2023 (and as amended from time to time) entered into between, amongst others, Flutter and J.P. Morgan SE as Administrative Agent.
About Flutter Entertainment plc
Flutter is the world’s leading online sports betting and iGaming operator, with a market leading position in the US and across the world. Our ambition is to leverage our size and our challenger mindset to change our industry for the better. By Changing the Game, we believe we can deliver long-term growth while promoting a positive, sustainable future for all our stakeholders. We are well-placed to do so through the distinctive, global advantages of the Flutter Edge, which gives our brands access to group-wide benefits, as well as our clear vision for sustainability through our Positive Impact Plan.
Flutter operates a diverse portfolio of leading online sports betting and iGaming brands including FanDuel, Sky Betting & Gaming, Sportsbet, PokerStars, Paddy Power, Sisal, Snai, tombola, Betfair, MaxBet, Junglee Games, Adjarabet and Betnacional. We are the industry leader with
To learn more about Flutter, please visit our website at www.flutter.com.
Contacts:
| Investor Relations: | Media Relations: |
| Paul Tymms, Investor Relations | Kate Delahunty, Corporate Communications |
| Ciara O'Mullane, Investor Relations | Lindsay Dunford, Corporate Communications |
| Chris Hancox, Investor Relations | Rob Allen, Corporate Communications |
| Email: investor.relations@flutter.com | Email: corporatecomms@flutter.com |
| Footnotes |
- Consideration comprises approximately
$1.55b n attributable to the acquisition of Boyd’s5% stake in FanDuel and approximately$205m attributable to the revision of various existing commercial terms. These include reduced future market access costs to FanDuel which are expected to result in an annual operating cost saving of approximately$65m for Flutter from July 1, 2025, and the cessation of FanDuel’s operation of all retail sportsbooks in Boyd states from Q2 2026. The revenue and adjusted EBITDA impact of the closure of these operations is not expected to be material. - Boyd’s investment in FanDuel comprises of
4.5% ownership in the form of Investor Units of FanDuel and the remaining in the form of warrants that allow Boyd to acquire0.5% Investor Units of FanDuel. - Fox has an option to acquire an
18.6% equity interest in FanDuel (the “Fox Option”) on or before December 3, 2030. The price to be paid to exercise the Fox Option is the fair market value of FanDuel at December 3, 2020 which was determined to be$20b n plus an annual escalator of5% . This currently equates to an exercise price of$4.5b n. Cash payment is required at the time of exercise and the Fox Option can only be exercised in full. Exercise of the Fox Option requires Fox to be licensed. See Part II, “Item 8. Financial Statements and Supplementary Data – Fair Value Measurements” of Flutter’s Annual Report on Form 10-K for the year ended December 31, 2024 filed with the SEC on March 4, 2025 for additional information regarding the Fox Option. - States where FanDuel will use Boyd for market access are Indiana, Iowa, Kansas, Louisiana and Pennsylvania
- US market position based on available market share data for states in which FanDuel is active. Online sportsbook market share is the gross gaming revenue (GGR) market share of our FanDuel brand for the three months to March 31, 2025 in the states in which FanDuel was live (excluding Tennessee as they no longer report this data), based on published gaming regulator reports in those states. iGaming market share is the GGR market share of FanDuel for the three months to March 31, 2025 in the states in which FanDuel was live, based on published gaming regulator reports in those states. US iGaming GGR market share including PokerStars US (which is reported in the International segment) for the three months to March 31, 2025 was
27% . - Adjusted EBITDA and leverage are non-GAAP financial measures. A reconciliation of these forward-looking non-GAAP financial measures to the most directly comparable GAAP financial measure cannot be provided without unreasonable effort. This is due to the inherent difficulty of accurately forecasting the occurrence and financial impact of the adjusting items necessary for such reconciliations to be prepared of items that have not yet occurred, are out of our control, or cannot be reasonably predicted
- Flutter will provide an update on recent tax changes and their anticipated impact at its upcoming Q2 earnings in August.
- Leverage for a specified reporting period is defined as net debt for the period divided by last twelve months Adjusted EBITDA. Net debt is defined as total debt, excluding premiums, discounts, and deferred financing expense, and the effect of foreign exchange that is economically hedged as a result of our cross-currency interest rate swaps reflecting the net cash outflow on maturity less cash and cash equivalents.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements reflect our current expectations as to future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. In some cases, you can identify these forward-looking statements by the use of words such as “outlook”, “believe(s)”, ”expect(s)”, “potential”, “continue(s)”, “may”, “will”, “should”, “could”, “would”, “seek(s)”, “predict(s)”, “intend(s)”, “trends”, “plan(s)”, “estimate(s)”, “anticipates”, “projection”, “goal”, “target”, “aspire”, “will likely result”, and or the negative version of these words or other comparable words of a future or forward-looking nature. Such forward-looking statements are subject to various risks and uncertainties and there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors include, among others: completion of the proposed transaction is subject to various risks and uncertainties related to, among other things, its terms, timing, structure, benefits, costs and completion; the receipt of certain regulatory approvals, to the extent required, and the timing and conditions for such approvals; and the satisfaction of the closing conditions to the proposed transaction. The ability to predict results or actual effects of our plans and strategies is inherently uncertain. Accordingly, actual results may differ materially from those expressed in, or implied by, the forward-looking statements. In addition, the ability to achieve estimated cost synergies in the timeframe described in this press release, or at all, is subject to various assumptions, which involve risks and uncertainties. In addition, we may incur additional or unexpected costs in connection with the matters discussed in this press release. The ability to predict results or actual effects of our plans and strategies is inherently uncertain. Accordingly, actual results may differ materially from those expressed in, or implied by, the forward-looking statements.
Factors that could cause Flutter’s results to differ materially from those described in the forward-looking statements can be found in Part I, “Item 1A. Risk Factors” of Flutter’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024 as filed with the Securities and Exchange Commission (the “SEC”) and other periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. Flutter undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.
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FAQ
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