Flutter Entertainment announced that it has received “strong support” from shareholders for its proposed additional listing of US common stock.
Last month, Flutter said the listing would fit with its broader growth plans in the country, as well as boosting FanDuel‘s business growth.
While the specific details of the listing have yet to be released, the company said the move would strengthen its reach in the United States, enable the recruitment and retention of talent in the country, and grant access to deeper capital markets and domestic investors in the country.
Other potential benefits probed by Flutter include greater overall liquidity in stocks and the ability to seek, as a second step, a primary listing in the US, listed as one of the criteria for access to major US indexes.
After consulting with shareholders representing a significant majority of its issued share capital, Flutter said there was strong support. The group will present a formal resolution to shareholders at a meeting scheduled for April 27.
To pass, the resolution would require the approval of at least 75% of the votes cast by shareholders. If that’s the case, Flutter intends to roll out the additional listing during the fourth quarter.
Flutter’s growth in 2022
The announcement comes after Flutter earlier this month posted a 27% increase in year-over-year revenue during the 2022 fiscal year, mainly due to continued growth in the US and its acquisitions of Sisal and Tombola.
The operator said its US-facing FanDuel brand continued to grow its market share, reaching 50% in the online sports betting sector in the fourth quarter and 21% for igaming, with the US business expecting positive earnings in 2023 before interest. , taxes, depreciation and amortization (EBITDA).
“We have an unrivaled number one position in the US, where we continue to go from strength to strength. The combined power of ‘FanDuel Advantage’ and ‘Flutter Edge’ has resulted in our most successful launches to date in Maryland and Ohio,” said Flutter’s CEO Peter Jackson.
Also this month, the US Securities and Exchange Commission (SEC) ordered Flutter to pay a $4 million civil fine for The Stars Group’s use of third-party advisors in Russia. The company acquired The Stars, operator of several brands such as PokerStars and Full Tilt, in May 2020.