UK gambling giant Flutter Entertainment is swallowing nearly all the bits of FanDuel that it doesn’t already own ahead of a likely US initial public offering. 

On Thursday, the UK-listed Flutter announced plans to acquire a 37.2% stake in the FanDuel Group from Fastball Holdings, a consortium of investors led by private equity group KKR. The deal will boost Flutter’s FanDuel stake from 57.8% to 95%, with the remaining 5% held by regional casino operator Boyd Gaming.

The US$4.175b (£3.13b) deal will be funded with just under $2.1b in cash and 11.7m new Flutter shares. For the cash portion, Flutter will use a combination of cash on hand and £1.1b via a new equity placing. Investors will get to weigh in on the proposed acquisition at an extraordinary general meeting before year’s end.  

Flutter said the deal “removes considerable uncertainty with respect to buyout obligations of Fastball’s stake” and eliminates Fastball’s economic interest in the FOX Bet brand. (The latter was recently referred to as a “subscale competitor” in the US sports betting market by Flutter CEO Peter Jackson during his company’s Q3 earnings call.)