### Flutter’s Strategic Moves in Brazil and Global Market Expansion
Senior gaming analyst Chad Beynon highlights the growth potential of Flutter in Brazil, crediting the rapid success to the company’s advanced Flutter Edge technology stack, which has quickly secured market share in new territories.
Brazil is projected to contribute an additional 1% to Flutter’s global market share between 2026 and 2029. This business segment, which includes the NSX Group, is valued at approximately $1.3 billion according to Macquarie’s estimates. This valuation equates to approximately $12 per share and represents $9.5 of valuation creation.
Beynon praises Flutter’s effective risk management strategies in mergers and acquisitions, noting its prominence in the U.S. market through its FanDuel operations. Flutter’s worldwide market share is approximately 16%, encompassing 35% in the UK and Ireland, 33% in North America, 40% in Australia, and 5% internationally. The global share is predicted to reach around 20% by 2030, bolstered by recent acquisitions and the use of the Flutter Edge technology.
At the Capital Markets Day event on September 25, Flutter announced that their acquisition of the Brazil-focused NSX Group, which includes the Betfair brand, secured an 11% stake in Brazil’s online betting market. In September, Flutter acquired a 56% share in NSX for $350 million, with the transaction set to close by the second quarter of 2025, also integrating the Brazilian betting brand Betnacional. The establishment of Flutter Brazil followed the confirmation of the NSX deal.
### Confidence in Brazilian Market Opportunities
During Flutter’s third-quarter results announcement on November 13, CFO Rob Coldrake expressed optimism about the company’s progress in Brazil, stating, “We’re eager to capitalize on what we believe is an exciting market full of opportunities.” Brazil’s regulated betting market is expected to launch on January 1, 2025. Flutter was among the first applicants for a license under the new betting regulations. However, the industry faces criticism in Brazil due to studies indicating a negative impact of betting on consumer spending and welfare.
### Future Mergers and Acquisitions?
Beynon suggests that more mergers and acquisitions might be in Flutter’s future, particularly in Latin America. He also notes potential expansion opportunities in the U.S. as FanDuel considers entering retail gaming and lottery.
This year, Flutter has been active in acquisitions. In September, the company announced its commitment to acquiring Playtech’s Italian B2C business, Snaitech, for €2.3 billion. The addition of Snaitech and the NSX Group is expected to boost Flutter’s international market share by approximately 2%.