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FEATURE
Sports Entertainment Acquisition Corp( SEAC), resulting in its listing on NYSE in 2022.
“ The US as a listing venue is particularly attractive because of the sheer volume of capital available and the credibility assigned to US-listed businesses by investors, regulators and banks,” explains Super Group’ s Investor Relations team.
SPACs gained popularity among sports and betting groups in the US’ early days of legal sports betting. They provide a vehicle for accessing public equity more quickly than through a traditional IPO. DraftKings merged with a SPAC under the name Diamond Eagle Acquisition Corp in 2019, listing on the Nasdaq in early 2020. Since then, its share price has skyrocketed almost 95 %. The operator has come out fighting as part of a duopoly alongside Flutter’ s FanDuel, leading the US’ online betting and iGaming sectors.
“ The fact that the US market was liberalising at that point... added increased momentum among US investors who were then developing an appetite for iGaming stocks which wasn’ t previously as prevalent,” says Super Group.
Although the UK has long been a core market for Super Group, its Betway brand being synonymous with English Premier League football, the opportunity for a US-listing, and its partnership with SEAC, was too good to turn down.
“ We have benefited [ from the US listing ] in many ways. Our profile has been raised with investors, who now understand our business and strategy better and recognise what makes us stand out. We’ re also now more credible with regulators and banks than when we were privately held, and even our customers appreciate the clear message of strength and integrity that
being a listed business gives us,” the IR team says of its success on the NYSE.
LSE FIGHTS BACK
Attempting to remedy some of the reputational damage LSE has experienced since companies started flocking to US exchanges, its parent company LSEG reported in March that London had a more geographically diverse investor base than the US. Data suggests US exchanges are supported by an 81 % North American investor base, while LSE is propped up by 41 % North American and 31 % UK-based shareholders. European investors
account for 15 % of the LSE, and 9 % of US exchanges. According to data collected between 2019 and 2024, meanwhile, barriers to entry for the UK
are lower than the US, as LSE IPO fees are almost 1 % below NYSE fees – and 2.5 % lower than Nasdaq.
“ Flutter, Ferguson, CRH and Abcam are four companies that switched from a UK primary listing to a US primary listing in recent years,” an LSE Group note stated.
“ Of these, while they may have seen a small initial increase in EV / EBITDA and P / E ratios following the addition of the US listing, any improvements have largely reverted after switching to a‘ primary’ US listing. When comparing to US-listed peers, any valuation gaps have not significantly changed upon addition of a US listing.
“ Movements seen in discounts or premiums to peers have largely been moderate, suggesting any changes in
38 • ISSUE 138 • iGB L! VE 2025