Entertainment
Flutter Entertainment has struck a deal to buy the last 5% of FanDuel from Boyd Gaming Corporation. This $1.755 billion purchase will give Flutter total ownership of the top US sportsbook and iGaming platform. The move values FanDuel at about $31 billion and will change the US sports betting scene.
Flutter Secures $1.75B Loan for FanDuel Deal, Eyes Regulatory Approval by Q3 2025
The deal should wrap up in the third quarter of 2025 as long as regulators give the green light. Flutter plans to use debt to pay for it. They have set up a bridge credit facility of $1.75 billion to cover the cost of buying FanDuel and related expenses.
The deal also extends the long-running partnership between Flutter and Boyd Gaming, which will now last until 2038. Under the new terms, FanDuel will enjoy much lower market access fees in five crucial states, Indiana, Iowa, Kansas, Louisiana, and Pennsylvania, where Boyd helps it enter. These cuts are expected to reduce Flutter’s yearly expenses by around $65 million beginning in July 2025.
Along with the purchase, Boyd and FanDuel have restructured their business deals. FanDuel will keep running Boyd’s physical sportsbooks outside Nevada through mid-2026 when Boyd will step in to manage these operations. Boyd will also get a set fee for each state where FanDuel offers online sports betting and casino games in the agreed markets.
FanDuel Sale Strengthens Boyd’s Balance Sheet While Flutter Doubles Down on US Market
Boyd Gaming‘s top brass pointed out that this deal unlocks a lot of value from its initial FanDuel investment boosting the company’s financial health. The money from the sale will go towards paying off debt, letting Boyd keep its focus on improving its properties giving returns to shareholders, and exploring potential growth opportunities.
Keith Smith, Boyd Gaming’s CEO, said the partnership with FanDuel had a big impact on both companies. He pointed out that Boyd got to take part in the growing sports betting industry, while FanDuel became the clear leader in online sports betting in the US.
Flutter CEO Peter Jackson called the deal a big step forward for the company. He said FanDuel‘s quick growth since Flutter first put money in it in 2018 came from its strengths and its use of Flutter’s global resources. He believed that owning all of FanDuel would make it even more valuable for shareholders and help FanDuel stay on top of the market.
FanDuel still leads the US market holding a 43%chunk of sports betting and 27% of iGaming. This deal’s wrap-up looks to strengthen Flutter’s grip on the booming online gambling scene even more.
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Silvia Pavlof