Flutter Entertainment, which owns FanDuel, is set to list on the New York Stock Exchange on Monday, as reported by The Guardian.
The ongoing sports betting boom in the US has led to many bookmakers battling to dominate the country, with the likes of DraftKings and BetMGM also becoming key players in the space.
Flutter hailed its listing in New York as a “pivotal moment” as it continues to grow its operations in the US. The Dublin-based company generated sales of $4.59 billion in the US last year when the Supreme Court removed a long-standing law that prohibited sports betting across much of the country. Their US revenues in 2018 were just $243 million, which was about 10% of their global revenue. Now the US market makes up around 40% of Flutter’s sales.
In its regulatory filing, Flutter described its future growth plans as “a long runway” but also acknowledged future regulation in the industry could be significantly influenced by concerns around problem gambling.
The Supreme Court’s 2018 ruling to strike down anti-sports betting laws has led to Flutter’s chief executive, Peter Jackson, floating the idea of making May 18 – the day of the ruling – a company holiday, such is the significant impact it has had on the business ever since.
The company, which was formally known as Paddy Power Betfair, is also listed in the London Stock Exchange. Its second listing in New York is designed to boost its profile and open up access to greater investment opportunities in the US.
How big is the sports betting market in the US?
Since the market opened up in 2018, online sports betting in the US has been on an upward curve that doesn’t appear to be stopping anytime soon.
According to Statista, the sector is anticipated to achieve revenues of $9.65 billion in 2024. Based on an expected annual market growth of 13.03%, market volume will reach $15.75 billion by 2028.
In terms of users, 52 million online sports punters are expected to be active by 2028, with average revenue per user expected to reach $256.60.
Featured Image: Photo by Lucas Andrade on Unsplash
