Flutter considering small US shareholding option for FanDuel

Image source: FanDuel Group

Flutter Entertainment, the betting group comprising some of the biggest names in gaming and wagering, has issued a statement to its investors over the weekend in response to market speculation surrounding its US-facing FanDuel Group business and a potential initial public offering (IPO).

While the group has stopped short of confirming or denying that a listing of the DFS and sportsbook operator will officially happen, it said that such a move remains a consideration. 

The firm told investors: “Flutter notes the recent press speculation in relation to a potential IPO of FanDuel, the Group’s US business. Flutter regularly evaluates its organizational and capital structure to assess how best to position itself to deliver upon the group’s strategy. 

“Options including the listing in the US of a small shareholding in FanDuel are being considered but no decision has been made at this time. Should a decision be made to proceed with a listing in due course, an announcement will be made as appropriate.”

The story was picked up by news agency Reuters which reported that back in December Flutter had increased its stake in FanDuel to 95% in a $4.2bn deal. The disclosure was made in response to media speculation about a possible FanDuel IPO. 

Flutter, which maintains a 40% share of the market in the US, revealed earlier this month that it anticipates more than $19.49bn worth of business to be generated by 2025 as the number of states opening up to legal sports betting has grown bigger than originally expected by industry observers.