FanDuel parent Flutter Entertainment’s vision for diversifying its gambling portfolio through investments in India and Brazil has fallen apart, costing the company hundreds of millions of dollars in projected revenue.

India passed legislation curtailing online wagers last year, spoiling the value of gaming powerhouse Junglee after Flutter had paid $237 million to acquire 95% of the company looking to gain a foothold in the world’s most populated country. The India ban cost Flutter expected revenue of about $250 million in 2026 and $310 million in 2027.

Brazil President Luiz Inácio Lula da Silva banned online betting last week, though the move is expected to face legal challenges. If Flutter Brazil is unable to operate for the remainder of this year, Flutter wrote in a press release Monday, it is expected to result in a reduction to 2026 revenue of approximately $70 million.

Advisory firm Regulus Partners wrote in a note that while it anticipates Brazil’s ban will eventually be overturned, a reversal is unlikely to come immediately.

Flutter’s stock fell 7.93% on Monday to $76.63 per share. Its shares are down more than 60% year-to-date. Longtime CEO Peter Jackson is stepping down at the end of this month. Flutter’s most valuable holding, U.S.-based FanDuel, has been battered by the rise of prediction markets in North America, and FanDuel CEO Amy Howe left the firm earlier this year.

“Flutter is extremely disappointed by this development and is reviewing all available options, including the potential to appeal,” the company wrote in a press release. “Flutter continues to engage constructively with the Brazilian authorities on sensible, effective regulation to protect customers from the risks of the unregulated market.”

Before Kalshi and others launched prediction markets—a form of exchange betting—under the federal Commodity Futures Trading Commission (CFTC) at the start of 2025, FanDuel and DraftKings dominated mobile betting with their state-regulated, traditional online sportsbooks.

Prediction market operators have become an unexpected source of competition, particularly in states without legalized sports betting where FanDuel and DraftKings don’t have the same cache as they do in states where their sportsbooks are licensed.

FanDuel’s belated foray into prediction markets, done via a joint venture with CME Group, has been bumpy. CME Group decided this summer to stop processing sports bets for the app through its own exchange, and OG has since taken over that responsibility.

In August, Flutter acknowledged in an earning presentation that the rollout of its prediction market app was “slower than planned” in the first half of the year.

(This story has been updated in the fifth paragraph to update the stock price after Monday’s close.)