Flutter to discuss additional US listing with shareholders

The global gaming, entertainment and sports betting provider, Flutter Entertainment, announced its plans to consider an additional listing in the US. On Tuesday, the company revealed that its Board plans to launch a consultation for an additional US listing of Flutter's ordinary shares.

The Board explained that such a listing is expected to deliver significant capital market as well as long-term strategic benefits. This is why it sought to consult on the topic with Flutter's shareholders. According to a statement released on February 14, 2023, the consultations are expected to start immediately.

According to Flutter's Board, an additional US listing will benefit the company via a greater overall liquidity of its shares. At the same time, the Board said that such a listing will enable Flutter "the optionality to pursue, as a second step, a primary US listing - one of the criteria for access to important US indices."

The Board also explained it believes that the listing will help the company tap into new US talent and enable it to better retain and recruit employees. Another major benefit that the additional listing may bring is granting Flutter access to deeper capital markets. In turn, this is expected to help the company grow by attracting new US investors. Last but not least, the Board acknowledged that an additional US listing will help the Group expand further its presence in the country.

The latest announcement comes at a time when Flutter's FanDuel continues to grow in the US. In fact, the company acknowledged that the brand has become its largest business by revenue. Still, the latest update explained: "the Board has reached a preliminary view that an additional US listing of Flutter's ordinary shares will yield a number of long-term strategic and capital market benefits."

"The capital markets day held in New York on 16 November 2022 highlighted the growing importance of FanDuel to the Group as a whole. This trend is expected to continue, with FanDuel becoming the Group's largest business by revenue and an ever-greater proportion of its overall value," explains a statement released by Flutter.

Flutter's Board explained that if it receives broader support from the shareholders for an additional US listing, it "would take precedence over any plans to list a small shareholding in FanDuel." The company did not confirm a date when the results of the consultations will be revealed.

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