As reported by The Times, the online gaming powerhouse, 888 Holdings, has triumphed in the contest to purchase the European division of William Hill.
888’s successful offer, surpassing £2 billion (equivalent to $2.76 billion), outflanked competing bidder Apollo Global Management. This acquisition encompasses William Hill’s assets in Europe, which were placed on the market by Caesars Entertainment soon after their monumental £2.9 billion purchase of the entire William Hill group – a strategic decision to divest the UK-centric portion of the enterprise.
Early projections estimated the European branch of William Hill to be valued around £1.5 billion. However, the race for this prize quickly escalated as numerous global contenders in the sports wagering and casino gaming sector entered the fray.
Prior reports suggested interest from Tipico, a German betting behemoth, along with other industry titans such as Apollo Global Management and Betfred.
The pool of potential buyers shrunk to a three-way competition between Apollo, 888, and a consortium spearheaded by CVC Capital Partners that included Tipico after Advent International bowed out.
Although Apollo was considered a leading candidate and CVC possessed previous dealings with William Hill, their proposal ultimately fell short. This left 888 and Apollo as the final two, with 888 ultimately securing the agreement.
To date, neither 888 nor William Hill have issued a formal statement regarding the acquisition discussions. However, in the course of last week’s earnings report, 888’s CEO Itai Pazner suggested their interest, noting that they are “favorably situated, possessing a robust brand collection and prepared for expanded capacity. We maintain a strong financial standing to facilitate additional expansion and are strategically positioned to capitalize on appealing prospects that align with our current growth trajectory.”
Although the outlook for William Hill’s wagering establishments remains unclear, 888 has previously implied that they could potentially maintain operations of the physical retail aspect of the enterprise.
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