Allwyn to acquire majority stake in PrizePicks in $2.5bn deal

• Allwyn agrees to purchase approximately 62.3% of PrizePicks, the largest daily fantasy sports platform in North America, for $1.6bn upfront
• The transaction could reach a maximum enterprise value of $4.15bn if performance targets are met over three years
• The deal marks Allwyn’s entry into the United States sports entertainment industry beyond its Illinois Lottery operations

European gaming entertainment giant Allwyn International has entered into a definitive agreement to acquire a majority stake in PrizePicks, the largest daily fantasy sports operator in North America, for an initial consideration of $1.6bn. The transaction implies an upfront enterprise value of $2.5bn for the Atlanta-based platform.

The Swiss-headquartered company will purchase approximately 62.3% of PrizePicks, with additional performance-contingent payments of up to $1bn potentially raising the total enterprise value to $4.15bn by 2029. The deal represents Allwyn’s biggest investment in the United States to date and its entry into the strategically important sports entertainment sector.

Founded in 2015, PrizePicks has established itself as a leader in daily fantasy sports through product innovation and community engagement. The platform operates across more than 45 United States jurisdictions and has attracted millions of monthly active users whilst delivering consistent double-digit revenue growth and strong profitability. The company generated adjusted EBITDA of $339m in the 12 months to June 2025, with revenue growth exceeding 60% year-on-year.

PrizePicks will continue operating as a standalone brand under CEO Mike Ybarra and the existing leadership team, who will retain the majority of their ownership interests. Co-founder Adam Wexler will remain on the board of directors.

“This acquisition will continue to drive Allwyn’s momentum and expand our business in the United States,” said Karel Komarek, Allwyn Founder and Chair. “PrizePicks has established its credentials as an industry pioneer, revolutionising the way fans engage with the athletes they love, making the contests more thrilling and immersive.”

Robert Chvatal, Allwyn CEO, described the deal as a significant European investment that aligns with the company’s vision of empowering a new generation of sports fans.

“PrizePicks is an entrepreneurial company that is empowering a new generation of fans who want to engage with their favourite sports and athletes, not just spectate. PrizePicks has created an intuitive platform that simplifies the process of making skilled predictions,” Chvatal added.

The acquisition forms part of Allwyn’s broader expansion strategy in the United States gaming market. The company previously acquired the Illinois Lottery operator in 2023 and purchased a majority stake in Instant Win Gaming in 2024.

Allwyn also announced intentions to acquire a controlling interest in online operator Novibet and secured global partnerships with Formula 1 and McLaren in early 2025. For PrizePicks, the partnership provides access to Allwyn’s scale and resources to accelerate expansion and innovation.

“By joining forces with Allwyn, a like-minded and disruptive company that shares our passion for bold product innovation, we will accelerate our mission to make our games more interactive, engaging and rewarding for fans everywhere,” said Mike Ybarra, CEO of PrizePicks.

The transaction is expected to close in the first half of 2026, subject to regulatory approvals and customary closing conditions. Allwyn plans to finance the purchase using existing cash and debt financing.

Daily fantasy sports platforms like PrizePicks operate as skill-based games requiring players to use sports knowledge and analytical expertise to build lineups and compete for prizes, distinguishing them from traditional sports betting. The sector has grown rapidly as fans seek more interactive ways to engage with live sports content.