Flutter Entertainment, Parent Company of FanDuel, Acquires Snaitech in a Major Acquisition
Flutter Entertainment, the parent company of FanDuel, is set to acquire Italian gambling company Snaitech from Playtech for $2.6 billion. This move is part of Flutter’s strategy to expand its presence in regulated markets globally. Italy, with its significant gross gaming revenue of 21 billion euros in 2023, presents a lucrative opportunity for Flutter. Snai, with its network of gambling shops and online games, holds nearly 10% market share in Italy and close to 300,000 monthly active users.
Flutter’s acquisition of Snai is expected to boost earnings per share and enhance its position in the Italian market. The company has been actively pursuing international growth opportunities, evidenced by its recent investments in Brazil through the acquisition of NSX Group. Flutter expects significant growth potential in Brazil, where new regulations will come into effect in January, formalizing the gambling industry.
The Brazilian market, which generated nearly $3 billion in gross gaming revenue in 2023, is poised for further expansion. Flutter will face stiff competition in Brazil, with numerous companies vying for licenses in the regulated market. Despite the competitive landscape, Flutter is optimistic about the growth prospects in Brazil and sees it as a key market for its future operations.
Overall, Flutter’s strategic acquisitions in Italy and Brazil reflect its commitment to expanding its international presence and capitalizing on growth opportunities in regulated markets. The company’s focus on diversification and market expansion positions it well for future success in the global gaming industry.
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Emily Jensen, graduated from the London School of Economics and Political Science (LSE) in the UK in 2015 with a degree in Economics. She specializes in financial markets and international trade. After graduating, she worked as an analyst at an investment bank in London, where she developed expertise in global economic trends. She later transitioned into consulting, focusing on fintech ventures and providing insights into global economic developments. Emily is passionate about the intersection of finance and technology and aims to drive innovation in the financial sector.