IG Group Acquires Sports Prediction Platform Underdog For $2.15 Billion

IG Group is acquiring sports prediction platform Underdog in a deal worth up to $2.15 billion, marking one of the biggest moves yet in the fast-growing prediction markets space. Founded in 2020 by Jeremy Levine and Brandon Stakenborg, Underdog has grown into one of the largest U.S. daily fantasy sports and prediction markets platforms, with more than 11 million registered users and over 5 million depositing customers. IG says the acquisition will more than double its U.S. revenue, establish it as a leader in regulated prediction markets, and create a new consumer platform spanning sports, trading, and investing. Separately, eligible Underdog employees will participate in a management incentive plan (MIP) with a maximum potential payout of $850 million. FUN FACT: Since launching prediction markets in September 2025, Underdog has become the third-largest U.S. prediction markets platform by regulated notional volume, behind only Kalshi and Robinhood. The company recently launched its own proprietary exchange, giving it full control over its prediction market infrastructure and expanding beyond daily fantasy sports. FOUNDERS: Jeremy Levine & Brandon Stakenborg ACQUIRER: IG Group DEAL VALUE: ~$2,150,000,000 MIP (Eligible Employees): Up to $850,000,000 HQ: Brooklyn, New York #VentureCapital #Underdog #IGGroup #PredictionMarkets #TradedVC