Allwyn International continues its M&A run announcing that it has agreed terms to acquire PrizePicks, the largest daily fantasy sports (“DFS”) operator in North America. 

Deal terms see Allwyn front a $2.5bn to acquire a majority 62.3% stake in PrizePicks for an initial cash consideration of $1.6bn. Total rewards for PrizePicks are capped at $4.15bn – as Allwyn executes its biggest M&A play ever.

Founded in 2015 by gaming entrepreneurs Adam Wexler and Jay Deuskar, PrizePicks is recognised as the leading DFS brand for all major US sports. 

Of significance to its growth, the Atlanta-based operator pioneered a peer-to-peer tournament-style offering, enabling fans to test their skills directly against other players. 

The DFS brand is present in more than 45 US jurisdictions, and attracts millions of monthly active users and is noted for delivering “high double-digit annual revenue growth alongside strong profitability.”

Karel Komarek Chairman of Allwyn International, said:  “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.”

Power play on Lotto & DFS

For Allwyn, the PrizePicks deal provides a transformative entry point into the broader US sports and entertainment sector, building on its existing operation of the Illinois Lottery. The acquisition aligns with the group’s vision to become a global leader in gaming entertainment, underpinned by a shared focus on technology, responsible play, and community impact.

Robert Chvatal,  CEO of Allwyn International, commented: “This is a significant European investment, and Allwyn’s biggest in the United States to date. 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.”

Detailing first insights to SBC, Allwyn stated that its acquisition of PrizePicks should be viewed as a standalone DFS play. As it stands, dealmakers have no intention of applying a sportsbook platform to PrizePicks, with leadership focused instead on the “visible co-synergies that can be applied to both DFS and Lotteries, enhancing PrizePicks’ position as DFS’s most innovative player.” 

Stepan Dlouhy, Allwyn Chief Investment Officer, added:  “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. 

The deal also marks Allwyn’s second strategic acquisition in North America, following its purchase of a 70% stake in Instant Win Games (IWG) last year, further strengthening its long-term ambitions in the US market.

PrizePicks opens the Western Front 

PrizePicks will continue to operate as a standalone brand within the Allwyn portfolio. The company will be led by CEO Mike Ybarra and its current leadership team, who will retain a majority ownership interest in the business. 

Co-founder Adam Wexler will continue to serve on the Board of Directors, ensuring continuity with the company’s founding vision.

Mike Ybarra, CEO of PrizePicks, said: “Today marks the start of an exciting new chapter for PrizePicks and our growing community of players. 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.”

The transaction represents Allwyn’s largest ever M&A investment and signals its intent to become a dominant force in international gaming and entertainment. For PrizePicks, the deal offers the backing of a global operator with the capacity to support its rapid growth trajectory and enhance its market-leading position in DFS.