Flutter Entertainment Says FanDuel CEO Exit Might Delay Potential US Listing -- Update
--Flutter Entertainment said Matt King is leaving as CEO of
--Mr. King's departure will affect timing of potential U.S.
listing of FanDuel stake
--London-listed shares in Flutter fell on the news
By Matteo Castia and Adria Calatayud
Flutter Entertainment PLC said Wednesday that Matt King, chief
executive officer of its U.S. FanDuel subsidiary, is leaving and
that his departure will affect the timing of a potential U.S.
listing of a stake in FanDuel.
The Dublin-based sports-betting and gambling group--which also
owns the PokerStars, Paddy Power and Betfair brands--in March said
its board was assessing the potential merits of listing a small
stake in FanDuel in the U.S.
The board will continue to keep this option under review, but
Mr. King's will affect the timing of any potential listing, Flutter
London-listed shares in Flutter at 0719 GMT were down 1.8% at
Mr. King has given notice to leave the group and will step down
once a successor is appointed after four years as FanDuel CEO.
Flutter said it is starting the process of looking for a
FanDuel was acquired in 2018 by Flutter, which was then called
Paddy Power Betfair.
Flutter has been investing heavily in the U.S. after sports
betting became legal in some states following a Supreme Court
ruling in May 2018. As more states have legalized sports betting,
the company has been expanding its U.S. operations, and recently
launched in Michigan and Virginia.
Last month, the company said its revenue and average monthly
players in the U.S. more than doubled in the first quarter to $396
million and 1.6 million, respectively. Flutter's U.S. business is
now twice the size of its Australian operations and is closing in
on its international division.
In 2020, Flutter reported U.S. revenue of $800 million and a
loss before interest, taxes, depreciation and amortization of $148
million due to investments.
Write to Matteo Castia at firstname.lastname@example.org and to
Adria Calatayud at email@example.com
(END) Dow Jones Newswires
May 12, 2021 03:52 ET (07:52 GMT)
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