Summary
- Allwyn is on the brink of acquiring a commanding 62.3% stake in PrizePicks for a substantial $1.6 billion, a move that brings the company's total value to an impressive $2.5 billion.
- If PrizePicks continues to perform well and attracts further investment, its value could soar to an astonishing $4.15 billion.
- We anticipate that the deal will reach completion in the first half of 2026, as long as all regulatory approvals and standard closing conditions are met.
Allwyn, a global powerhouse in the lottery industry with roots deep in Europe, has boldly decided to acquire a $1.6 billion stake in PrizePicks, a leader in US daily fantasy sports. This move marks one of the most significant deals in the sector for 2025, showcasing Allwyn's unwavering ambition and strategic vision.
Allwyn pushes hard into new verticals with recent PrizePicks stake buyout proposal
Allwyn is boldly expanding its horizons, determined to diversify beyond lottery games. After a major victory in the UK as the new operator of the National Lottery, Allwyn is now venturing into uncharted territories. This move away from their usual domain promises exciting challenges and opportunities for growth. As the acquisition process unfolds—set to complete in the first half of 2026—Allwyn is poised to step into the thrilling world of daily fantasy sports. This shift coincides with a vibrant era for traditional sports betting and the rise of innovative arenas like prediction markets. Allwyn isn't stopping there. PrizePicks CEO Mike Ybarra enthusiastically supports the partnership, seeing it as a chance for PrizePicks to expand its offerings and explore diverse fields, including sports and culture, especially in prediction markets. The deal involves Allwyn acquiring a significant 62.3% stake in PrizePicks, with funding provided in cash. Although the current cash payment values PrizePicks at $2.5 billion, Allwyn recognizes its potential to soar. If PrizePicks meets specific goals in the coming three years, the enterprise value could skyrocket to $4.15 billion, illustrating the exciting prospects lying ahead.
PrizePicks to remain under the same leadership and operate as a standalone brand
Acquiring the controlling stake doesn't mean stripping away the power from PrizePicks. The company will retain its independence and continue as a standalone brand under Allwyn. Ybarra will keep his leadership role. PrizePicks Co-Founder, Adam Wexler, will remain on the Board of Directors, which shows Allwyn's trust in the current structure at PrizePicks. Allwyn's Founder and Chair, Karel Komarek, shared his enthusiasm about this deal, saying: This acquisition will drive Allwyn's growth and extend our operations in the United States. PrizePicks has proven itself as an industry leader, transforming how fans interact with their favorite athletes and making contests more engaging. We're thrilled to collaborate with PrizePicks in shaping the future of casual entertainment. Ybarra also expressed his excitement, highlighting this milestone as an exciting new chapter for PrizePicks. Previously, Allwyn acquired a 70% stake in Instant Win Gaming in 2024 and is also pursuing a controlling interest in Novibet.
