Flutter Expands Presence in Brazil with Acquisition of 56% of NSX Stake
Date: 2024-09-13 Author: Leon Pierce Categories: EVENTS
Flutter Entertainment, a leader in sports betting and iGaming, has announced a significant investment in Brazil to expand its presence in the local market. This is a strategic move aimed at the company’s global expansion.
Flutter Acquires 56% of NSX Stake in Q2 2025
According to an official statement from Flutter, the company spent approximately $350 million to acquire a 56% stake in the NSX group, which operates the popular Brazilian brand Betnacional. NSX is one of the top 4 operators in the country and is expected to generate approximately $256 million in revenue and $34 million in adjusted EBITDA in 2024.
In addition to the financial investment, Flutter will transfer its Brazilian business to Betfair, creating a combined entity called Flutter Brazil.
The deal also includes the ability to increase Flutter's stake through mutual option agreements in years five and ten following the transaction's completion. The transaction is expected to close in Q2 2025.
The deal is in line with Flutter's strategy
Flutter said the deal supports its strategy of strengthening its leadership position in international markets. In particular, the company aims to take a "top spot" in Brazil, where betting regulations are set to be launched soon.
With a population of around 200 million, Brazil is an attractive market with huge untapped potential. Sports, especially football, are an integral part of the country's culture. Experts predict that online betting and iGaming will continue to grow rapidly in Brazil.
Flutter also noted that local consumers prefer to use brands that cater to their market. Flutter Brazil, which will combine two strong local brands, is well positioned to capitalize on this potential.
The company also emphasized that a strong local management team will enable customer-focused decisions. The new division will be powered by a technology platform developed in Brazil.
Flutter added that Flutter Brazil represents a “compelling opportunity” to unlock synergies through access to the Flutter Edge platform and create significant value. Flutter Brazil is expected to generate EBITDA of approximately $90-100 million by 2025.
Flutter CEO Peter Jackson expressed confidence in the acquisition, noting that NSX’s expertise is an ideal complement to Betfair’s business.
“We believe that the combination of the NSX team’s extensive local knowledge, our existing Betfair business, and the capabilities of Flutter Edge will create a unique opportunity to realize growth potential in Brazil,” Jackson said.
In other news, Morningstar analyst Dan Wasiolek praised Flutter’s strong position in key markets around the world and FanDuel’s dominance in the US.
