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Flutter Announces Major New Shareholder

Online gambling giant Flutter Entertainment has made an announcement that London based activist investor firm Parvus Asset Management has now built a 7.1% stake in the company.

In a regulatory filing on announcing any major investment the 7% threshold was passed on the 25th of May and so Flutter had to formally announce the move.

Parvus started building a stake in Flutter in December 2021 with a 2.8% stake and now has surpassed the marker that allows it voting rights in any formal offer for Flutter Entertainment, indeed Parvus is not the third largest holder of shares in the gambling giant behind US pension fund Capital Group who holds 14% and Caledonia Investments with a 10% stake.

Edoardo Luigi Mercadante who worked for Merrill Lynch as their equities trading specialist and who now heads up Parvus Asset Management, indeed what is interesting is that Parvus has a history of investing in gambling related stock.

They held sizeable equities in William Hill prior to its sale to Caesars Entertainment and the UK arm to 888Holdings, then they demanded that PokerStars be sold of merged to realise the true potential of the stock, which happened in its sale to Flutter Entertainment.

Rumours may well start circulating that Parvus is positioning itself for a possible merger of Flutter to an unknown company?

Staff

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