Allwyn Acquires Majority Stake in PrizePicks

Allwyn to enter US DFS space via $1.6 billion PrizePicks acquisition

Through its PrizePicks acquisition, Allwyn hopes to take a leadership position within US daily fantasy sports.

European lottery giant Allwyn International has agreed to acquire a majority stake in daily fantasy sports (DFS) operator PrizePicks.

The deal, announced on Monday, follows a period of repositioning for Allwyn including launching a new digital business to be led by ex-Betfred US CEO Kresimir Spajic.

It also operates the National Lottery in the UK and underwent one of the sector’s biggest retail lottery tech overhauls in August, replacing all the UK’s lottery terminals.

Strategic Expansion into US DFS and Betting

The deal will provide Allwyn with access to the US DFS and betting space. It’s only other link to the US market is via its Illinois Lottery operation.

Allwyn will acquire a 62.3% stake in PrizePicks and will pay an initial cash consideration of $1.6 billion. This implies an upfront enterprise value of $2.5 billion for PrizePicks, but this could increase $4.15 billion, if the DFS operator achieves certain performance metrics over the next three years.

The transaction is expected to close in the first half of 2026, subject to the satisfaction of certain closing conditions.

In terms of PrizePicks’ day-to-day operations, current CEO Mike Ybarra and his existing leadership team will continue to operate the brand as a standalone within Allwyn, retaining the majority of their ownership interest.

Customer Base in the Millions for PrizePicks

Customer base in the millions for PrizePicks

PrizePicks launched in 2015, operates in 45 US states and claims to be one of the fastest growing DFS operators in the market.

PrizePicks first started considering sale options in July 2024 when it hired investment bank Moelis & Co to explore potential mergers and acquisitions.

Unlike traditional DFS platforms where users draft entire teams, PrizePicks allows users to predict the over/under on individual player statistics and fantasy scores. PrizePicks recently found its way back into several regulated markets, which could help strengthen its viability and sustainability cases.

In the 12 months to June 2025, PrizePicks generated an adjusted EBITDA of $339 million, with revenue growth exceeding 60% year-on-year.

Co-founder Adam Wexler will continue to serve as a member of PrizePicks’ board of directors.

Wexler said the Allwyn deal will provide the investment needed to further the company’s growth.

“With Allwyn’s backing, we’ll accelerate our vision and bring our games to even more players on a much bigger stage,” Wexler said.

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

“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.”

Allwyn’s US Growth Ambitions

Allwyn CEO Robert Chvatal hopes Allwyn’s biggest US investment to date will drive the business’ growth in the market.

“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,” Chvatal said.

“We’ve created an intuitive platform that simplifies the process of making skilled predictions.”