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Allwyn completes syndication of $1.5bn financing for PrizePicks acquisition

The funding package combines term loan facilities across US and European lenders as Allwyn prepares to enter the North American fantasy sports sector.

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Key Points
- Allwyn syndicates $1.5bn in new term loan facilities to support its PrizePicks acquisition
- Financing includes a $1bn seven-year Term Loan B and a $500m six-year Term Loan A
- Proceeds will fund the purchase of 62.3% of PrizePicks, expected to close in Q1 2026

Allwyn International has completed the syndication of $1.5bn in financing to support its planned acquisition of PrizePicks.

The package includes a $1bn seven-year Term Loan B, issued by Allwyn Entertainment Financing (US) LLC, and a $500m six-year Term Loan A arranged through a bank syndicate.

The company said the USD Term Loan B will bear interest at SOFR plus 250 basis points, with both facilities ranking pari passu alongside existing Allwyn debt held across its European and US financing entities.

The funding will be used to cover acquisition costs, fees and associated expenses, supplemented by existing cash resources.

The acquisition, first announced on 22 September 2025, involves Allwyn purchasing approximately 62.3% of PrizePicks for an initial cash consideration of $1.6bn, subject to post-closing adjustments.

The transaction remains subject to regulatory approvals and is scheduled to close in the first quarter of 2026.

Kenneth Morton, Allwyn CFO, said: "I am very pleased to have successfully syndicated our largest offering to date in the USD institutional term loan B market, demonstrating continued investor support for the Allwyn credit and confidence in our outlook."

The financing underscores Allwyn's push into the US entertainment and sports betting ecosystem, marking its first major step in a market where fantasy sports operators have seen sustained growth.

The company highlighted the importance of securing long-term funding now to support integration planning ahead of the transaction closing next year.

The deal also aligns with Allwyn's strategy to diversify revenue streams beyond lottery products. The company noted during recent financial updates that volatility in sports betting margins has reinforced the value of balanced exposure across gaming verticals.

Allwyn's entry into the US market has also been accompanied by leadership changes. Allwyn North America CEO Wayne Pickup is set to leave the company in mid-November, with former Betfred USA CEO Kresimir Spajic appointed to lead Allwyn's Digital division earlier this year.

Last week, Allwyn launched a separate $1.64bn term loan B financing round tied to the same PrizePicks transaction, while also reporting that "exceptionally customer-friendly sports results" had affected margins for the quarter ending 30 September.

Good to know

PrizePicks will continue operating as a standalone brand following the transaction closure

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