Allwyn to expand US presence with $1.6 billion majority stake acquisition of PrizePicks

Allwyn International has agreed to acquire a 62.3% stake in PrizePicks, North America’s largest daily fantasy sports (DFS) operator, for $1.6 billion in cash.

The deal values PrizePicks at an upfront enterprise value of $2.5 billion, with performance-based payments over three years potentially raising the total value to $4.15 billion.

Founded in 2015, PrizePicks offers peer-to-peer and free-to-play contests with millions of monthly users across over 45 U.S. jurisdictions. The company has delivered strong revenue growth and profitability, generating $339 million in Adjusted EBITDA in the 12 months ending June 2025, with revenue growth exceeding 60% year-over-year.

“PrizePicks has established itself as an industry pioneer, transforming the way fans engage with athletes and making contests more immersive,” said Karel Komarek, Allwyn Founder and Chair. “This acquisition will continue to drive Allwyn's momentum and expand our business in the United States."

Allwyn CEO Robert Chvatal called the acquisition the company’s largest U.S. investment to date. He said PrizePicks empowers a new generation of fans to engage with sports and athletes and praised its platform for simplifying skilled predictions.

"The United States gaming and entertainment market has always been a compelling opportunity, and our focus has been on finding the right entry points," added Stepan Dlouhy, Allwyn Chief Investment Officer, said.

PrizePicks CEO Mike Ybarra said Allwyn’s investment will help the company expand across the U.S. and build a scalable entertainment platform spanning sports, culture, and prediction markets. "We are in 45 states now. It's my prediction that we will be in 50 states across the board, and this will be broadly accepted and regulated in the United States," he said in a recent interview.

PrizePicks founder Adam Wexler said the company was created to offer a more accessible style of fantasy sports for casual players. He explained that PrizePicks was the first to scale a simple prediction model, reshaping fan engagement in fantasy sports. 

The acquisition gives Allwyn, owned by Czech billionaire Karel Komarek, a strategic foothold in the U.S. sports and entertainment market, expanding beyond its Illinois Lottery operations. Allwyn also runs lotteries in the U.K., Italy, Austria, Greece, and the Czech Republic, holds stakes in Kaizen Gaming (36.75%) and Novibet (51%), and recently partnered with Formula One.

About 90% of Allwyn’s revenue still comes from lotteries. The PrizePicks acquisition signals a shift toward tech-driven, high-growth platforms.

Sports betting in the US has expanded since the 2018 PASPA repeal, though iCasino is legal in only a few states. Moelis & Co. banker Ramy Ibrahim noted that online casino could double its market, with California, Texas, Georgia, and New York representing major growth opportunities.

Daily fantasy sports are considered games of skill, allowing broader operation. PrizePicks is also exploring non-sports prediction markets and investing in AI to help users make better picks.

PrizePicks will operate as a standalone brand under CEO Mike Ybarra and the current leadership team, who will retain most of their ownership. Co-founder Adam Wexler will remain on the board.

The transaction is expected to close in the first half of 2026, subject to regulatory approvals. Allwyn will finance the deal with cash and debt.

This acquisition follows other recent Allwyn expansions, including the 2024 majority stake acquisition in Instant Win Gaming and plans to acquire Novibet, as well as new global partnerships with Formula 1 and McLaren in early 2025.