Flutter opens $1bn debt note offering

Flutter Entertainment Plc has notified markets that it has launched an offering of senior debt notes equivalent to an aggregate principal amount of $1.05bn.

The twin-listed NYSE and FTSE gambling group has authorised the transaction for both USD- and EUR-denominated senior secured notes due by 2029.

Markets were informed that proceeds from the debt notes issuance will be used to “(i) repay borrowings under the existing syndicated facility agreement from July 10, 2018, (ii) repay borrowings under the existing multi-currency revolving credit facility, and (iii) cover certain costs, fees, and expenses associated with the offering.”

The transaction will be issued by the plc subsidiary ‘Flutter Treasury DAC‘, and an application will proceed for the senior debt notes to be admitted for trading on The International Stock Exchange Authority.

Q1 trading saw the board of Flutter notify investors that it would prioritise the NYSE as the primary listing of the business, a strategic move to deepen Flutter’s investment profile in US capital markets.

Marking its first year on the NYSE, Flutter carries the expected guidance of generating US revenues between $5.8bn to $6.2bn (up 36.3%) and further Adjusted EBITDA between $635m to $785m (up 206.1%).

Excluding US growth, Flutter anticipates corporate revenues to stand at $7.65bn to $8.05bn (a 6.3% increase), with further Adjusted EBITDA expected to be $1.63bn to $1.83bn (up 5.4%).

As detailed in FY2023 accounts, Flutter maintains long-term debt of $7.05bn, up from £6.75bn reported in FY2022.

Further corporate affairs saw Flutter abandon plans to change its auditor from KPMG to Deloitte.

In 2022, Flutter ran a competitive tender to challenge KPMG, whose contract was to expire in 2024 as the principal auditor. However, reported by the Financial Times, Flutter stated that it had found “no compelling reasons to switch”.