Gambling giant Flutter delays £13bn FanDuel float until next year

Baseball

One of the world’s biggest gambling groups has ruled out a lucrative float of its market-leading US sports betting brand until 2022.

Bosses at Flutter Entertainment, the London-listed bookmaker behind Sky Bet, Paddy Power and Betfair, are understood to be waiting until next year before listing a minority stake in FanDuel.

The FTSE 100 firm said earlier this year that it was exploring a US public offering for the brand, which has surged ahead of rivals as a decades-long ban on wagering on sports is repealed across America. Analysts believe the float could value the business as much as £13bn.

But Peter Jackson, the boss of Flutter, slammed the brakes on the listing following the abrupt resignation of FanDuel’s boss Matt King in May.

Mr King is expected to formally leave in the next few weeks with an interim replacement selected, industry sources said. Mr King, a former director at private equity firm KKR, is understood to be moving to work with US billionaire Tom Ricketts - the owner of Chicago Cubs baseball team and son of Joseph Ricketts, the founder of Ameritrade.

Flutter is now conducting a search for Mr King’s permanent replacement, with a decision expected in the autumn.

The bookie remains at loggerheads with Rupert Murdoch’s Fox Corporation over the price at which Fox can exercise a multibillion-dollar option to buy an 18.6pc stake in FanDuel. Legal arbitration is ongoing in New York.

Insiders at Fox believe that with the legal row ongoing, Flutter will not be able to float FanDuel - a claim that Mr Jackson has denied.