Flutter Entertainment Plc · NYSE:FLUT

Flutter Entertainment — Paddy Power Betfair — Merger or Acquisition (May 2018)

7 slides from Flutter Entertainment's merger presentation, May 23, 2018

  1. Slide 1: Combination of US Business with FanDuel

    Paddy Power Betfair plc Combination of US Business with FanDuel 23 May 2018

  2. Slide 2: Summary

    2 Summary  Combination of Paddy Power Betfair’s US businesses (“Betfair US”) with FanDuel Transaction  Paddy Power Betfair will hold 61% of the combined business and have operational control  Existing FanDuel investors will hold 39%  Paddy Power Betfair cash contribution of $158m on completion 

  3. Slide 3: Transaction details

    3 Transaction details  Paddy Power Betfair contributes its existing US assets + $158m cash  Cash contribution will pay down existing FanDuel debt ($76m) and fund working capital Key terms  Call / put option to take Paddy Power Betfair ownership to 80% after 3 years and 100% after 5 years  Transa

  4. Slide 4: FanDuel: leading DFS brand with substantial customer base

    4 FanDuel: leading DFS brand with substantial customer base Market size1 Market share1 Regulatory profile  >$3bn entry fees  Legal clarity for DFS in 21 DFS  >$300m revenues states2, with further market >40% legislative momentum profile  >3m active players expected in 2018 (from c.59m season lon

  5. Slide 5: FanDuel: great brand to target US sports betting opportunity

    5 FanDuel: great brand to target US sports betting opportunity % of FanDuel customers % of FanDuel % of FanDuel customers who bet on sports1 entries via mobile aged 18-39 Attractive customer attributes c.84% c.70% c.65% High brand awareness2 With unique advantages  Ability to attract & acquire cust

  6. Slide 6: Transaction creates the industry's leading US online business

    6 Transaction creates the industry’s leading US online business US Online net revenues1 Extensive nationwide footprint $265m c.$155m $141m c.$132m $124m c.$42m  c.8m registered customers c.$9m Betfair  Real-money customers in 45 states DraftKings Betfair US TwinSpires FanDuel William Hill Other US

  7. Slide 7: Strong position to target prospective sports betting opportunity

    7 Strong position to target prospective sports betting opportunity Market access Operational capabilities  Strong existing relationships with key  US digital marketing expertise / partnerships stakeholders across the USA  Risk & trading expertise  Scale makes us an attractive partner  Establish

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