Flutter Entertainment has announced its €2.3bn ($2.5bn) purchase of Italian gambling operator Snaitech from Playtech. [Image: Shutterstock.com]

Flutter Entertainment has confirmed rumors that it intends to take over Italian gaming operator Snaitech in a deal worth €2.3bn ($2.5bn). The company believes the deal will help it develop a stronger position in Europe’s biggest regulated gambling market.

transaction will also help create about €70m ($78m) in synergies

Flutter already owns Sisal, so the new deal will give it an estimated 30% share of the overall online gambling sector in the country; Snaitech controls almost 10% of the market and has an average of 291 monthly players. The company believes the latest transaction will also help create about €70m ($78m) in synergies.

The hope is to complete the deal with Playtech by the second quarter of next year. The news of this agreement comes only a few days after Flutter announced its $350m purchase of a 56% stake in NSX Group, a company that operates the popular Betnacional brand in the rapidly growing Brazilian market.

Talking about the Snaitech deal, Flutter Entertainment CEO Peter Jackson said that it is “compelling tactically and financially” and is an ideal fit for the company’s approach to mergers and acquisitions. He believes Snaitech will benefit by taking advantage of Flutter’s suite of capabilities and products.