Flutter to Form Flutter Brazil via Acquisition of 56% Stake in NSX

Sportsbook and iGaming juggernaut Flutter Entertainment has unveiled a major investment in Brazil that would grow its local footprint. The deal reflects the companyā€™s overall expansion strategy and orientation toward global markets.

Flutter to Acquire a 56% in NSX in Q2 2025
According to Flutterā€™s official announcement, it has paid some $350 million to acquire a 56% stake in NSX Group, which operates the highly popular Brazilian betting Betnacional. NSX is among the top 4 operators in the country and is expected to singlehandedly generate $256 million in revenue and adjusted EBITDA of $34 million in 2024.

In addition to the payment, Flutter will contribute its existing Betfair Brazil business, creating a newly combined Flutter Brazil business.

The deal furthermore lays out a mechanism that could allow Flutter to increase shareholding through reciprocal put/call arrangements in year five and year ten following the completion date.

Completion of the transaction is expected to close by the second quarter of 2025.

The Deal Aligns with Flutterā€™s Broader Strategy
Flutter said that this arrangement aligns with its strategy to invest in leadership positions in international market. In this case, the company would secure a ā€œpodium positionā€ in Brazil, which is set to launch regulated betting very soon.

As a country with a population of some 200 million, Brazil is a highly attractive market with huge untapped potential. In addition, sports, and soccer in particular, are a huge part of the local culture. Analysts expect the local online betting and iGaming markets to continue growing at a rapid pace.

In the meantime, Flutter noted that the local audience tends to prefer playing with locally focused brands. Flutter Brazil, which combines two already strong local brands, is therefore poised to capitalize on this highly attractive jurisdiction.

Flutter added that a strong local management team would enable customer-centric decision-making. The new Brazil-facing entity will furthermore be underpinned by a proprietary tech platform developed locally in Brazil.

The leading operator added that Flutter Brazil represents a ā€œcompelling opportunityā€ to drive synergies via access to Flutter Edge and generate significant value. Speaking of value, Flutter Brazil is expected to deliver adjusted EBITDA of roughly $90-100 million in 2025. Ā 

Flutter CEO Peter Jackson expressed excitement about the acquisition, saying that the local expertise of NSX will complement the Betfair business perfectly.

We believe that combining the extensive local expertise of the NSX team, our existing Betfair business and the power of the Flutter Edge, will create a compelling opportunity to capitalize on the growth opportunity in Brazil which presents an exciting runway of future growth.

Peter Jackson, CEO, Flutter Entertainment
In other news, Dan Wasiolek, an analyst expert with Morningstar, just praised Flutterā€™s strong presence in important markets across the globe and the dominance of FanDuel in the United States.

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