Simpson Thacher is representing Underdog Sports in its sale to IG Group Holdings in a deal that was announced on July 30, 2026. Underdog is a leading U.S. daily fantasy sports and prediction markets operator and, since launching prediction markets in September 2025, has become the third-largest US prediction markets venue by regulated notional volume flow. IG is a UK-based financial technology company and serves customers worldwide by providing trading via its proprietary platforms. The transaction is expected to give Underdog the scale, resources and infrastructure to expand its product offering and bring it to a broader global audience. Completion of the transaction is subject to regulatory approvals and customary closing conditions.
The transaction values Underdog at approximately $1.3 billion, payable in cash and IG Group stock. Separately, it agreed to put in place an $850 million management incentive plan to reward Underdog employees for hitting growth targets in future years.
The Simpson Thacher team includes David Hernand, Anthony Vernace, Muaaz Maksud, Logan Duffy, Millen Trujillo, and Miksa Karcheski (US, M&A); Clare Gaskell, Jia Yan Ng, and Alex Brown (UK, M&A); Larry Moss, Anvita Baldota, and Nicklaus Chalk (ECEB); Jonathan Goldstein, George Rhein, and Jason Hwo Sun Yoo (Tax); Ron-Ben Yehuda and Christine Song (Intellectual Property); Abram Ellis and Anais Bourbon (Regulatory); Sara Razi, Kelly Karapetyan, and Dan Owsley (Antitrust); and Mick Tuesley, Jennifer Ho, and Alexis Capati (Foreign Direct Investment).