Flutter ups FanDuel stake to 95% in $4.18bn deal
| By Daniel O'Boyle
Paddy Power Betfair and Pokerstars owner Flutter Entertainment has conditionally agreed to purchase a further 37.2% stake in US betting and daily fantasy sports brand FanDuel from Fastball for $4.18bn(£3.13bn).
![FanDuel](https://igamingbusiness.com/img-srv/2tqY6souygr4m4vsHr_cRS9yS_LCKp5q6KZVQ0_an5s/resizing_type:auto/width:0/height:0/gravity:sm/enlarge:1/ext:webp/strip_metadata:1/quality:90/bG9jYWw6Ly8vaWdhbWluZ2J1c2luZXNzLmNvbS93cC1jb250ZW50L3VwbG9hZHMvMjAyMC8xMi9GYW5EdWVsLU1lYWRvd2xhbmRzLTIuanBn.webp)
The deal will increase its stake in the business from 57.8% to 95%.Flutter then intends to offer media giant Fox Sports the option to purchase 18.5% of the brand for fair market value in July 2021.
Flutter will pay $2.09bn to Fastball – a consortium of investors headed by venture capital giant KKR – in cash for its entire stake in the business, of which £1.1bn ($1.48bn) will be funded through an equity placement that has launched today.
The remainder of the deal will be paid through 11.7m Flutter shares valued at £133.50 ($178.46) apiece – Flutter’s share price when the market opened today.