888 Agrees To Buy William Hill European Business
9 September 2021
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888 Holdings has concurred to purchase William Hill's European business from its US owner in an offer worth ₤ 2.2 bn.
The online gaming firm said the offer with casino giant Caesars Entertainment would include William Hill's 1,400 UK wagering shops.
888 chief executive Itai Panzer stated the acquisition would "produce among the world's leading online betting and gaming groups".
The deal is set to develop a combined group with more than 12,000 workers.
It will go for savings of about ₤ 100m a year as an outcome of the purchase.
888 said the acquisition would provide it "considerably improved exposure to sports betting, the world's largest and fastest growing online sector, with the addition of a renowned sports brand".
It also stated William Hill's High Street existence was an important behind the move.
Mr Panzer added: "Our strategies are also complementary, being digitally led, consumer focused, and devoted to player protection and raising market standards around much safer gaming.
"We are also excited about the opportunities that the retail organization provides and see substantial brand advantages."
William Hill president Ulrik Bengtsson stated: "The William Hill and 888 strategies are extremely complementary with an absolute concentrate on the product and consumer experience.
"Scale is significantly essential in our sector and the mix of business will provide an effective alignment of brands and technology."
An auction for the non-US side of William Hill's organization, which includes online operations across the UK and Europe, was started by Caesars Entertainment after it had acquired the betting giant in April for ₤ 2.9 bn.
The Caesars Palace casino owner only wanted the firm's US operations and said from the beginning that it intended to offer other parts of the business once the offer had actually gone through, triggering a race to purchase.
Tom Reeg, president of Caesars Entertainment, stated that he was "pleased" the company had actually "discovered an owner for the William Hill service outside the US which shares the same goals, methods and longer-term ambitions of that service".
US personal equity firm Apollo was also in the running for the purchase of the European organization.
888's takeover is still subject to investor approval, and it will likewise need to be offered the go-ahead by the Financial Conduct Authority.
Lord Jon Mendelsohn, chair of 888, said: "We believe the acquisition will develop significant worth for investors, developing a combined business with leading technology, products and brands throughout sports wagering, gaming and poker, supported by high quality management skill from both companies."
Founded in 1934, the William Hill brand name began when its creator set up a postal and phone-based wagering business.
It opened its first wagering shops in the UK in the mid-1960s, soon after their existence on High Streets was made legal.
Questions had been raised about the worth of the brand name's bricks-and-mortar shops, which were mostly closed throughout the pandemic.
In August last year, the business stated it would not be reopening 119 of its betting stores after coronavirus lockdowns, stating it did not expect customers to return in the numbers seen before the pandemic.