In a major development this morning it was announced that Flutter Entertainment which owns Paddy Power and Betfair are to merge with online poker giant The Stars Group.
It will become once the deal is finalised the worlds largest gambling entity with combined revenues of £3.8 billion based on 2018 figures.
Flutter Entertainment was only created in 2016 with the merger of Paddy Power and Betfair and the new merger will see Flutter hold a 54.6% share in the combined business with The Stars Group holding 45.4%.
It is understood shareholders will approve the deal in the second quarter of 2020 and completion will be done by the end of 2020.
Observers say that with the merger the new company will be a huge player in the US market with both betting and poker being the new businesses major brands.
Peter Jackson the Chief Executive of Flutter said of the deal, “The combination represents a great opportunity to deliver a step-change in our presence in international markets and ensure we are ideally positioned to take advantage of the exciting opportunity in the US through a media relationship with FOX Sports as well as our development of US sports betting through Flutter’s FanDuel and TSG’s FOX Bet brands.2 He went on to say, “We are committed to these two high-quality brands to drive the growth of the combined group in the US.”
Stars Group Chief Executive Rafi Ashkenazi said: “This exciting combination will allow us to enhance and accelerate our existing strategy. The combination with Flutter will further enhance our company’s core strengths, and position us strongly for the future in this rapidly evolving industry.”
It is understood that oce the business is full combined Rafi Ashkenazi will assume the role of Chief Operating Officer.
It has also been confirmed that the newly combined company will be incorporated, headquartered and domiciled in Dublin, Ireland, what will become of The Stars Group Headquarters in Isle Of Man has not yet been announced.
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