Flutter Falls To Bottom Of FTSE 100 Prior To Departure For US Listing

Flutter has found itself at the bottom of the FTSE 100 index just days before it is set to depart the London Stock Exchange altogether. The company’s decision to shift its primary listing to the New York Stock Exchange has been met with a significant setback, as a new sports betting tax passed in Illinois threatens to significantly impact its profitability.

Flutter, the parent company of brands like Paddy Power and Betfair, has been a longstanding fixture on the FTSE 100 index. However, the company’s leadership has concluded that the New York Stock Exchange is the “optimal location” for its primary listing, leading to its imminent departure from the London-based index.

The company’s woes were compounded over the weekend, as the Illinois Senate passed a progressive sports betting tax that could result in an effective tax rate of around 35% for Flutter. This development has sent shockwaves through the company, with its shares plummeting by 7.3% on the final trading day before its exit from the FTSE 100.

While the company’s decision to prioritize a New York listing may have been driven by a range of strategic considerations, the recent events in Illinois have cast a shadow over the perceived benefits of this move. Investors and industry analysts will be closely scrutinizing Flutter’s long-term vision and its ability to navigate the challenges ahead.