Allwyn International is entering the US daily fantasy sports (DFS) sector through the acquisition of a majority stake in leading operator PrizePicks.
The definitive agreement will see Allwyn acquire a 62.3 per cent stake in PrizePicks for an initial cash consideration of $1.6 billion, implying an upfront enterprise value of $2.5 billion.
If PrizePicks achieves certain performance metrics over the next three years, additional cash consideration under the agreement could raise the implied enterprise value to a maximum of $4.15 billion.
Allwyn founder and chair Karel Komarek commented: “This acquisition will continue to drive Allwyn’s momentum and expand our business in the United States. 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. We are excited to work with PrizePicks to shape the future of this new frontier in casual entertainment.”
Founded in 2015, PrizePicks is one of the fastest-growing DFS operators in the country with a fanbase of millions of monthly active users across more than 45 US jurisdictions.
The operator has consistently delivered high double-digit annual revenue growth and strong profitability, with revenue for the 12 month period to June 2025 increasing by more than 60 per cent, generating adjusted EBITDA of $339 million and strong cash flow generation.
“This is a significant European investment, and Allwyn’s biggest in the United States to date,” said Allwyn CEO Robert Chvatal. “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. I look forward to partnering with Mike and the PrizePicks team to support the growth of the business.”
The acquisition expands Allwyn’s business in the US beyond its existing operation of the Illinois Lottery, with Allwyn’s scale and resources to be used to support PrizePick’s expansion.
Allwyn chief investment officer Stepan Dlouhy said: “The acquisition of PrizePicks underscores our ability to execute on our ambitious investment strategy. The United States gaming and entertainment market has always been a compelling opportunity, and our focus has been on finding the right entry points.
“We took the first step in 2023 with the acquisition of the operator of the Illinois lottery and were pleased to subsequently acquire a majority stake in IWG, which has a strong footprint in the United States, in 2024. Today, we announce the next major milestone on our journey. PrizePicks fits perfectly into our vision of shaping the future of mass market casual digital entertainment and is poised for further strong growth.”
Headquartered in Atlanta, Georgia, PrizePicks will operate as a standalone brand within Allwyn, led by CEO Mike Ybarra and the existing leadership team who will retain the majority of their existing ownership interest.
“Today marks the start of an exciting new chapter for PrizePicks and our growing community of players,” said Ybarra. “There has never been a more electrifying time to shape the future of fan-first entertainment. 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.”
PrizePicks co-founder Adam Wexler, who will continue to serve as a member of the PrizePicks Board, added: “From day one, we set out to create a more accessible style of fantasy sports that could appeal to casual players. As the industry evolved, PrizePicks was the first to go all-in on the simplest prediction model and take it to scale, reshaping how fans engage with fantasy sports.
“Now, with Allwyn’s backing, we’ll accelerate our vision and bring our games to even more players on a much bigger stage.”
The transaction is anticipated to close in the first half of 2026, subject to the satisfaction of certain closing conditions, including approvals from applicable regulatory authorities.
Allwyn expects to finance the purchase price using a combination of cash on balance sheet and debt financing.