888 agrees £2.2bn deal to buy William Hill’s European business
888 has announced that it has entered into an agreement with Caesars Entertainment, Inc to acquire the international (non-US) business of William Hill International and, together with the Group, at an enterprise value of £2.2 billion.
The Acquisition will create a global online betting and gaming leader by bringing together two highly complementary businesses and combining two of the industry’s leading brands. The Acquisition represents a transformational opportunity for 888 to significantly increase its scale, further diversify its product mix and accelerate the upward shift of its revenue growth profile.
The combination of 888 and WHI is expected to deliver significant operating efficiencies, including pre-tax cost synergies of at least £100 million per year, leading to improved profit margins. On a pro forma normalised basis the Enlarged Group’s annual revenue and adjusted EBITDA in 2020 would have been $2.5bn and $464m, respectively.
The Enlarged Group will be strongly growth-oriented, benefitting from a clear scale advantage and strong product and geographic diversification. With a focus on regulated markets, it will be able to offer customers world-class products, supported by leading betting and gaming brands, driving sustained growth and shareholder value creation over the medium and long-term.