In a landmark transaction that reshapes the competitive landscape of the US iGaming market, Flutter Entertainment has completed its acquisition of Boyd Gaming's remaining 5% stake in FanDuel Group for approximately $1.755 billion, giving the Irish-American gambling giant full control of America's leading sportsbook operator.

The deal, finalized in July 2025, values FanDuel at an impressive $31 billion and represents one of the largest iGaming transactions in US history. Flutter now owns 100% of FanDuel, which currently commands 43% of the US sports betting market and 27% of the iGaming sector by gross gaming revenue.

Strategic Implications and Cost Savings

The acquisition delivers significant operational benefits beyond mere ownership consolidation. Flutter expects to generate approximately $65 million in annual operating cost savings starting July 1, 2025, primarily through reduced market access costs in key states where Boyd previously provided licensing arrangements.

The revised commercial terms include:

1. Elimination of future market access costs in Indiana, Iowa, Kansas, Louisiana, and Pennsylvania
2. Extension of the strategic partnership between FanDuel and Boyd through 2038
3. Cessation of FanDuel's retail sportsbook operations in Boyd states by Q2 2026

Financing and Market Position

Flutter financed the transaction with a $1.75 billion bridge loan carrying an interest rate of Term SOFR + 1.25%. Despite temporarily increasing leverage, the company maintains confidence in its medium-term target leverage ratio of 2.0-2.5x, supported by projected EBITDA growth and the substantial cost synergies.

FanDuel's market dominance remains unquestioned across major US markets:

1. New York: 44% market share vs. DraftKings' 34%
2. New Jersey: 45% vs. DraftKings' 29%
3. Michigan: 46.5% vs. DraftKings' 26%
4. Illinois: 37% vs. DraftKings' 30%

Financial Performance Outlook

The buyout positions Flutter to capitalize on FanDuel's exceptional growth trajectory. FanDuel generated $5.8 billion in revenue in 2024, with Flutter projecting 2025 revenues between $7.4 billion to $7.9 billion. Adjusted EBITDA is expected to reach $1.3 billion to $1.5 billion in 2025.

Flutter CEO Peter Jackson emphasized the strategic value: "I am really pleased to drive future value for our shareholders by increasing our ownership of FanDuel to 100%. This transaction unlocks tremendous value and strengthens our position in the world's largest gaming market."

Industry Impact

The acquisition solidifies Flutter's position as the global leader in online betting, with FanDuel serving as its crown jewel in the rapidly expanding US market. The transaction comes as the US sports betting market is projected to grow at a 12% CAGR through 2030, driven by younger demographics and mobile-first engagement.

Boyd Gaming CEO Keith Smith noted: "This transaction unlocks the tremendous unrealized value that our investment in FanDuel has created for our Company, putting us in a significantly stronger financial position for future growth opportunities."

The deal also eliminates potential complications from Fox Corporation's option to acquire an 18.6% stake in FanDuel, simplifying Flutter's capital structure and strategic planning for the US market.