Summary
- Flutter has obtained all the required approvals to finalize the acquisition of Snai.
- This move is expected to provide Flutter Entertainment with an approximate 20% share of the Italian market.
- Playtech is selling its B2C brand to concentrate entirely on its B2B operations.
On Wednesday, April 9, Flutter Entertainment announced that its acquisition bid for Snai has received approval from regulatory authorities in both Italy and Europe. The company has met all necessary antitrust, gaming, and regulatory requirements, enabling it to proceed with the €2.3 billion ($2.56 billion) acquisition of Snaitech from its current owner, Playtech, which is expected to finalize on April 30.
Flutter to secure a 20% market share of the Italian market
Snai will be a crucial component in the group's ambitious plans for the Italian market, strengthening its presence in one of Europe's key iGaming sectors. With operations spanning multiple verticals, Snai offers significant value to the company, justifying the all-cash transaction. The acquisition was first announced last September, when Flutter Entertainment stated in a press release that acquiring this asset was in line with its strategy to enhance its position in international markets and boost overall group value. A group representative declared, Incorporating Snai into the Flutter portfolio will reinforce Flutter’s leadership in Italy and provide a greater scale to capitalize on growth opportunities in Europe’s largest regulated market. By adding Snai to its existing assets, which already include Betfair and PokerStars in Italy, Flutter is anticipated to achieve a 20% market share.
Companies involved in the deal pivot strategically
Flutter Entertainment, a leading global iGaming and sports betting company that owns FanDuel and Sky Betting & Gaming, among others, is continuing its strategy of mergers and acquisitions. Meanwhile, Playtech has decided to sell Snai as part of its plan to focus entirely on becoming a B2B company. Flutter is not expected to slow down its aggressive acquisition strategy this year and is forecasting a notable increase in its core profits by 2027. Snai has shown strong growth in the Italian market, experiencing increases in both online revenue and adjusted EBITDA from 2019 to 2023.
