Flutter Secures Full Ownership of FanDuel in $1.755 Billion Deal with Boyd Gaming

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Flutter Entertainment has solidified its control over FanDuel, the leading U.S. online sports betting platform, by acquiring Boyd Gaming’s remaining 5% stake for approximately $1.755 billion. This strategic move grants Flutter complete ownership of FanDuel, reinforcing its dominant position in the rapidly expanding American gaming market and providing Boyd Gaming with significant capital for debt reduction and future investments.

Flutter’s Full Ownership of FanDuel

Flutter Entertainment’s acquisition of Boyd Gaming’s 5% stake in FanDuel marks a pivotal moment, giving Flutter 100% ownership of the highly successful online sports betting operator. This deal, valued at $1.755 billion, comprises a $1.55 billion consideration for the stake and an additional $205 million for the revision of existing commercial terms. The transaction implies a robust valuation of approximately $31 billion for FanDuel.

Boyd Gaming’s Strategic Divestment

Boyd Gaming’s decision to sell its stake in FanDuel represents a significant financial gain and a strategic repositioning for the company. The $1.755 billion proceeds will be instrumental in reducing debt and pursuing other strategic ventures. Despite the divestment, Boyd Gaming will maintain a valuable relationship with FanDuel through new market-access agreements.

Key Takeaways for Boyd Gaming:
- Cashed out a 5% stake for $1.755 billion.
- Significant capital for debt reduction and future investments.
- Maintains market-access agreements with FanDuel until 2038.
- Will receive a fixed fee per state from FanDuel’s mobile sports betting operations in select states (Iowa, Indiana, Kansas, Louisiana, Pennsylvania).
- FanDuel will continue to manage Boyd’s retail sportsbooks outside Nevada until mid-2026.

Impact on the Gaming Landscape

This acquisition underscores Flutter’s commitment to expanding its footprint in the lucrative U.S. online sports betting market, where FanDuel holds a commanding 43% market share. For Boyd Gaming, the deal provides substantial liquidity, enabling it to focus on its core gaming entertainment properties across 10 U.S. states and explore new opportunities, such as the recent land sale involving artificial intelligence.

Future Outlook

Both companies are poised for continued growth. Flutter, with full control of FanDuel, can streamline operations and further innovate in the online sports betting space. Boyd Gaming, with its strengthened financial position, can pursue strategic investments and enhance its existing portfolio of 28 gaming properties. The ongoing market-access agreements ensure a continued symbiotic relationship, benefiting both entities in the evolving gaming industry.