Flutter Entertainment (FanDuel) Plans US IPO
Stocks
February 14, 2023
There are two sports betting misconceptions:
1/ DraftKings is the largest US sports betting platform. Nope, that’s FanDuel.
2/ FanDuel is US-owned. Wrong again.
Dublin-based Flutter Entertainment (LON:FLTR), the largest public gambling company, made a world-class biz move in 2018 — acquiring the majority of FanDuel.
It was a multi-billion dollar move: FanDuel has become the dominant sports betting platform — controlling 42% of the US market.
Flutter thought about taking only FanDuel public in the US. Now, it wants to list its own shares in the US instead.
Flutter, meet US investors.
Trouble back at home: Betting platforms have been accused of profiting off addiction, leading to stricter regulations from UK and European regulators.
- Flutter had to pull back its revenue — leading to its first loss in years.
- Instead, it invested heavily in the US — becoming Flutter’s largest source of income.
DYK? This year’s Super Bowl was the first time it was held in a state with legalized sports betting. It’s estimated that $16B was wagered on the game — double that of last year.
Is it only a matter of time before US regulators act on the American gambling problem?
