Paddy Power Betfair purchases fantasy sports site Fan Duel

23 May 2018

Gambling company Paddy Power Betfair has accepted combine with the US dream sports wagering site Fan Duel.

It wishes to target the US sports betting market that is set to open up after a court choice.

In May, the yohaig code US Supreme Court reversed 1992 legislation that prohibited sports betting in many states.

Fan Duel, which was established in Scotland, permits sports fans to bet on dream sports leagues and contests in American sports.

The deal

Under the arrangement, Paddy Power Betfair will include its existing US assets worth $612m along with $158m of money to take a 61% stake in the combined service.

Existing Fan Duel financiers will own 39%.

The Dublin-based business will control the business, which will become a subsidiary.

Paddy Power Betfair manager Peter Jackson said the mix would create the "biggest online business" in the US betting industry.

" [We will have] a large sports-focused consumer base and a substantial across the country footprint," he said.

The punters

Fan Duel lets its clients wager on dream sport games, based around NFL American Football, NBA basketball, MLB baseball and NHL ice hockey.

There are an approximated 30 million adult fantasy sports gamers in The United States and Canada.

Users pick dream sports teams utilizing a dream budget plan, and play head-to-head or multi-player contests online.

Players pay an entry cost for each contest and contend for cash rewards.

The landscape

Paddy Power Betfair entered the US dream sports market in 2015 with the acquisition of Draft, a United States dream sports website, for $48m (₤ 35m).

The Dublin-based company already has a United States division, which consists of the TVG Network, a horseracing TV channel and an online wagering network which is active in 35 states.

Paddy Power also has an online casino and a horseracing betting exchange in the state of New Jersey.

Under the terms of its newest bet9ja's welcome offer, Paddy Power can increase its stake in Fan Duel to 80% after three years and 100% after five years.

The deal is anticipated to close in the 3rd quarter this promotion code year.

US ruling opens way for sports betting

14 May 2018