DUBLIN - Flutter (LON:FLTRF) Entertainment plc (LSE:FLTR)(NYSE:FLUT), a global online sports betting and iGaming operator, has priced a dual offering of senior secured notes via its subsidiary Flutter Treasury DAC. The offering comprises $525 million USD-denominated notes with a 6.375% yield and €500 million EUR-denominated notes with a 5.000% yield, both sets due in 2029 and issued at par value.
The notes are expected to begin trading on The International Stock Exchange Authority Limited, subject to standard closing conditions. The settlement date is anticipated around April 29, 2024.
Proceeds from the sale will be allocated to repaying existing debts, including borrowings under the syndicated facility agreement from July 10, 2018, and under the existing multi-currency revolving credit facility. Additionally, funds will cover certain costs, fees, and expenses related to the offering.
Flutter Entertainment, known for operating prominent brands such as FanDuel, Sky Betting & Gaming, and PokerStars, has stated its ambition to leverage its scale and mindset to drive industry change for a sustainable future. The company's "Flutter Edge" strategy aims to provide competitive advantages to its brands, ensuring they remain ahead in the market.
The sale of the notes is targeted at qualified institutional buyers and non-U.S. persons in compliance with U.S. securities laws. No public offering of these notes will be made in the United States. This offering does not constitute an offer of securities to the public in the United Kingdom, and any investment activity associated with the notes will be exclusively available to qualified investors.
The press release includes forward-looking statements, cautioning that actual results may differ due to various risks and uncertainties. This information is based on a press release statement, and the original press release can be found on accesswire.com.
InvestingPro Insights
Flutter Entertainment plc (NYSE:FLUT) has made a significant move in securing its financial position through the recent pricing of senior secured notes. As the company navigates its debt structure, it's worth noting that InvestingPro data indicates a market capitalization of $32.62 billion USD, reflecting the substantial size and influence of Flutter in the online gaming and sports betting industry. The company's revenue growth has been robust, with a 24.59% increase over the last twelve months as of Q1 2023, and a more modest quarterly revenue growth of 5.29% in Q1 2023, suggesting a steady upward trajectory.
Investors should be aware that Flutter Entertainment operates with a moderate level of debt, as per one of the InvestingPro Tips. This is a critical factor to consider when looking at the company's financial health, especially in the context of its latest notes offering. Another tip points out that while the company was not profitable over the last twelve months, analysts predict profitability this year, which could signal a turning point for potential investors.
Furthermore, with a strong return over the last three months, indicated by a 16.93% price total return, Flutter's short-term performance has been noteworthy. This may interest investors looking for companies with recent positive momentum. However, it's essential to recognize that the company's short-term obligations exceed its liquid assets, which could present liquidity challenges.
For those interested in gaining deeper insights into Flutter Entertainment's financial outlook, InvestingPro offers additional tips to help investors make informed decisions. With the provided coupon code PRONEWS24, readers can get an extra 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking a wealth of data and analysis to guide their investment strategies.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.