London-listed Flutter to consult on separate US listing for FanDuel

Flutter has been considering a US listing since it acquired FanDuel in 2018.
Flutter has been considering a US listing since it acquired FanDuel in 2018.

Ireland’s Flutter Entertainment is sounding out investors after FanDuel became its biggest business.

Ireland.- Dublin-based Flutter Entertainment has announced that it will consult shareholders on plans to launch a separate US listing. Flutter is listed in London, where it’s in the FTSE 100, but the company plans a US listing for FanDuel, which has become its biggest revenue-generator. 

It said in a statement: “The board has reached a preliminary view that an additional US listing of Flutter’s ordinary shares will yield a number of long-term strategic and capital market benefits.”

Flutter said it believed the benefits of the additional listing would include access to deeper capital markets and important US indices. It said the move would also boost FanDuel’s profile as a US business, provide better geographic liquidity and benefit the recruitment and retention of US talent. 

It expects to start shareholder consultation immediately. The move to list would take precedence over any plans to list a small stake in FanDuel if it wins support.

A potential US listing has been on the agenda since Flutter acquired FanDuel from venture capital investors for $610m in 2018.

FanDuel was estimated to generate revenue of $3 to $3.2bn for full-year 2022, and its growth is expected to beat that of other Flutter brands amid the continued expansion of US sports betting, where the brand is the market leader in New York, New Jersey, Illinois, Iowa, Colorado, Virginia and Pennsylvania. The US market is expected to reach a value of $40bn by 2030. 

Flutter’s board said: “We appreciate that this is an important topic for shareholders and intends to consult extensively before deciding whether to put forward a formal resolution for approval.”

“The Group expects to start this consultation immediately. In the event that there is broad shareholder support for an additional US listing, this would take precedence over any plans to list a small shareholding in FanDuel.”

Flutter’s Sisal wins Morocco sports betting licence tender

Last week, Sisal Italia has picked up a new international licence, winning the tender for an exclusive eight-year sports betting licence in Morocco. The operator, which was bought by Flutter for €1.9bn last year, will be the exclusive operator of both online and retail sports betting in Morocco.

The tender process was run by La Marocaine des Jeux et des Sports (MDJS), and the licence comes with the chance of a two-year extension. Sisal will launch its sportsbook product through Sisal Jeux Maroc.

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