Allwyn International has finalized a deal to acquire a 62.3% share in PrizePicks, the leading daily fantasy sports (DFS) operator in North America, amounting to $1.6 billion in cash.
This transaction places an initial enterprise value on PrizePicks at $2.5 billion, with further performance incentives over a three-year period possibly elevating the overall valuation to $4.15 billion.
Established in 2015, PrizePicks specializes in peer-to-peer contests as well as free-to-play games and boasts millions of monthly participants across more than 45 jurisdictions in the United States. The company has exhibited robust revenue growth and profitability, achieving $339 million in Adjusted EBITDA for the 12 months concluding in June 2025, with a revenue increase surpassing 60% year-on-year.
“PrizePicks has firmly positioned itself as a trailblazer in the industry, revolutionizing fan engagement with athletes and rendering contests more interactive,” stated Karel Komarek, the Founder and Chair of Allwyn. “We believe this acquisition will further Allwyn’s growth trajectory and broaden our footprint in the American market.”
Robert Chvatal, CEO of Allwyn, described the acquisition as the company’s most significant investment in the U.S. to date. He expressed that PrizePicks empowers a new wave of fans to actively engage with sports and athletes, highlighting its platform’s ease of making skill-based predictions.
“The U.S. gaming and entertainment market has always presented enticing opportunities, and we have been keen on identifying the most strategic entry points,” noted Stepan Dlouhy, Allwyn’s Chief Investment Officer.
Mike Ybarra, CEO of PrizePicks, indicated that Allwyn’s financial backing will facilitate the company’s expansion across the U.S. and foster the creation of an adaptable entertainment platform that encompasses sports, culture, and prediction markets. “Currently, we operate in 45 states, and I predict we will reach all 50 states, with broad acceptance and regulation across the U.S.,” he mentioned in a recent discussion.
Adam Wexler, one of the founders of PrizePicks, explained that the company was designed to provide a more user-friendly approach to fantasy sports for casual players. He noted that PrizePicks was the first to successfully implement a straightforward prediction model that has transformed fan involvement in fantasy sports.
This acquisition solidifies Allwyn’s, owned by Czech billionaire Karel Komarek, strategic entry into the U.S. sports and entertainment landscape, expanding its scope beyond its operations with the Illinois Lottery. Allwyn also manages lotteries in the U.K., Italy, Austria, Greece, and the Czech Republic, holds significant shares in Kaizen Gaming (36.75%) and Novibet (51%), and recently formed collaborations with Formula One.
Approximately 90% of Allwyn’s revenue is derived from lotteries. The PrizePicks acquisition represents a pivotal shift towards tech-forward, high-growth opportunities.
Since the repeal of PASPA in 2018, sports betting in the U.S. has seen significant growth, although iCasino remains legal in only a limited number of states. Moelis & Co. banker Ramy Ibrahim remarked that online casino could potentially double its market, especially in states like California, Texas, Georgia, and New York.
Daily fantasy sports are classified as skill-based games, allowing for broader operations. PrizePicks is also investigating non-sports prediction markets and investing in AI technologies to enhance user selections.
PrizePicks will continue operating as an independent brand under CEO Mike Ybarra and the current leadership team, who will preserve the majority of their stake in the company. Co-founder Adam Wexler will remain part of the board.
The deal is anticipated to finalize in the first half of 2026, pending regulatory approvals. Allwyn plans to finance the acquisition through a combination of cash and debt.
This acquisition follows other growth initiatives by Allwyn, including the majority stake acquisition in Instant Win Gaming in 2024 and ongoing negotiations to acquire Novibet, alongside fresh global partnerships with Formula 1 and McLaren slated for early 2025.