Flutter agrees PokerStars merger to become world’s largest online gaming operator
Flutter Entertainment PLC (LON:FLTR) shares soared after it announced plans to take over the global online gambling industry with Stars Group Inc (TSE:TSGI).
The new group will be the world’s largest online betting and gaming operator with combined revenues of £3.8bn, based on last year’s figures, and total market capitalisation of £10bn.
READ: Flutter Entertainment’s US fantasy sports business FanDuel partners up with Major League Baseball
Flutter, created by the merger of Paddy Power and Betfair in 2016, will hold 54.6% on the enlarged group, while Canada’s Stars Group, an online gaming and gambling specialist, will own 45.4%.
If both companies’ shareholders approve the deal, which is expected in the second quarter of 2020, the deal should be completed before next October.
The FTSE 100-firm has been working towards the expansion of its US presence as EU regulations toughen, starting last year with the acquisition of New York-based fantasy sports site FanDuel.
Stars Group is already present in the US after establishing earlier this year FOX Bet, a national media and sports betting partnership with broadcast giant FOX Sports.
Flutter bagged agreements with FOX Sports, Fastball Holdings LLC and Boyd Interactive Gaming LLC on the back of the merger.
Once completed, FOX Sports will have the right to acquire 18.5% in FanDuel at its 2021 market value, while Fastball and Boyd will receive a total payment of 12.5% of the increase in FOX Bet’s market value between 2021 and 2023.
“After a period in which UK companies’ bombed-out valuations have left them vulnerable to foreign predators it is somewhat refreshing to see a constituent of the London market take the lead,” said investment platform AJ Bell.
Shares were up 21.04% to 9,220p in mid-morning.
Story by ProactiveInvestors
Source: https://www.proactiveinvestors.com/companies/news/903972/flutter-agrees-pokerstars-merger-to-become-worlds-largest-online-gaming-operator-903972.html
Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.
"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
Please Help Support BeforeitsNews by trying our Natural Health Products below!
Order by Phone at 888-809-8385 or online at https://mitocopper.com M - F 9am to 5pm EST
Order by Phone at 866-388-7003 or online at https://www.herbanomic.com M - F 9am to 5pm EST
Order by Phone at 866-388-7003 or online at https://www.herbanomics.com M - F 9am to 5pm EST
Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!
HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation.
Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.
MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)
Oxy Powder - Natural Colon Cleanser! Cleans out toxic buildup with oxygen!
Nascent Iodine - Promotes detoxification, mental focus and thyroid health.
Smart Meter Cover - Reduces Smart Meter radiation by 96%! (See Video).