Flutter Entertainment announced the deal on July 10 and finalized the purchase on July 31. The acquisition involved the remaining 5% stake in FanDuel.
The $1.755 billion agreement also extended Flutter’s collaboration with Boyd, giving it continued access to states where Boyd operates casinos.
With this transaction, FanDuel became a wholly owned subsidiary. It also reshaped the ownership structure and operations of both companies in the U.S. online betting market.
Flutter paid $1.58 billion to acquire the remaining 5% stake in FanDuel from Boyd Gaming. It also added $200 million to revise the terms of their collaboration. This gives Flutter full ownership of FanDuel and aligns with its US market strategy.
Initially, Flutter got a majority stake in 2018 in FanDuel. In the US market, the platform has experienced significant growth. With full ownership, Flutter now directly manages all aspects of FanDuel’s operations and revenue. Boyd Gaming will remain a partner. The deal now runs through 2038. Flutter will manage retail sportsbooks of Boyd outside Nevada until 2026. Boyd will take over retail operations after that. On the other hand, Flutter will keep on paying fixed fees for online presence of FanDuel in those states.
The full integration of FanDuel under Flutter is expected to improve operational efficiency. It will also support the rollout of new products across U.S. states. The technology and experience of Flutter from managing other global brands contribute to development of FanDuel. Flutter now oversees all decision-making, product development, as well as revenue from US operations of FanDuel with complete ownership. Starting July 1 this year, the acquisition also reduces Flutter’s market access costs in states where Boyd Gaming operates. This may lead to improved margins and profitability.
Peter Jackson, CEO of Flutter Entertainment, described the company’s 2018 acquisition of FanDuel as a pivotal moment in its history. Jackson emphasized the strategic value of the agreement, following Flutter’s recent move to increase its ownership of FanDuel to 100%. With the collaboration now extended through 2038, he acknowledged the role of Boyd Gaming as a long-term partner.
