Flutter Announces $350M NSX Group Acquisition and Brazilian Market Entry

One of the world’s leading online sports betting and iGaming operators, Flutter, has expanded its influence recently by completing the purchase of a majority 56% stake in NSX Group.

Flutter Unveils New Deal with Betnacional 

NSX Group is a leading Brazilian operator. The company owns sports betting platform Betnacional, and Flutter spent $350 million on the investment. This move is consistent with Flutter’s approach of targeting market leaders in attractive global regions and is expected to enhance shareholder returns.

In a statement, the company explained that it expects this deal will grow its market share and ensure future profitability by making targeted, disciplined investments in customer acquisition and retention. 

Peter Jackson, CEO of Flutter, welcomed NSX to the Flutter portfolio, noting the significance of the move and the company’s access to the Betnational brand.

Jackson also explained that the deal highlights Flutter’s strong strategic flexibility as a business and aligns closely with the company’s approach to value-accretive M&A. According to him, the integration of NSX’s deep local expertise with Flutter’s existing operations in Brazil, enhanced by the competitive advantages of the Flutter Edge, presents a compelling opportunity to capture significant future growth in the Brazilian market.

According to the statement, Flutter expects that the new deal will contribute approximately $220 million in additional revenue and an adjusted EBITDA loss of $70 million in 2025, reported under the International segment.

What Are Flutter’s Plans for Betnacional?

Flutter’s 56% stake in NSX Group aligns with the company’s strategy to invest in leading businesses in attractive foreign markets. Flutter hopes the new deal will create shareholder value through the investment in the Brazilian market.

It has seen steady growth in recent years, which has prompted the country to implement new laws regulating the market. Just last month, Brazil reviewed bills suggesting stricter gambling advertisement rules, as many critics say current safeguards protecting vulnerable groups aren’t enough.

In addition to this, Flutter has goals to enhance its local brand image in Brazil through the fast-growing NSX Group. NSX entered the market in 2021 and quickly rose to become the fourth-largest operator in the country by 2023.

Finally, Flutter says the deal presents a strong synergy opportunity through access to the Flutter Edge, supporting significant value creation.

Revenue synergies are anticipated by enabling NSX to leverage Flutter’s proprietary pricing and risk management capabilities, enhancing its sportsbook offering with a differentiated product. Additionally, NSX will benefit from Flutter’s iGaming expertise and content, further elevating the overall iGaming experience.