Flutter shares dive after €710m fine

The group, which owns Paddy Power, is expected to appeal the ruling. 

Shares in Paddy Power owner Flutter Entertainment tumbled by almost 4% on the back of the betting group being hit with an $870m (€710m) fine in the US.

The fine has been handed down by the Kentucky Supreme Court, which reinstated a previous ruling against North American gambling company Stars Group. 

Flutter acquired Stars earlier this year.

The ruling related to legal disputes surrounding alleged customer losses from online poker games Stars hosted between 2006 and 2011. 

Such disputes were common at that time when a boom in online poker in the US outpaced the laws around it.

Flutter said it is currently “reviewing its position” on the matter with its legal advisors.

The gambling group said it was “wholly surprised” by the ruling and “strongly disputes” the basis of the judgement, which it says runs contrary to the modern US legal precedent. 

It said the ruling was based on a “centuries-old” statute. 

The group is expected to appeal the ruling. 

However, Flutter said that it is confident that any amount it ultimately becomes liable to pay will be “a limited proportion” of the reinstated judgement.

Flutter said its balance sheet remains "robust".