William Hill and 888 Holdings call off takeover talks after shareholder disagrees on priceComments Off on William Hill and 888 Holdings call off takeover talks after shareholder disagrees on price
Gibraltar-based 888 said last week it had received an approach from William Hill, Britain’s biggest bookmaker, about a £720 million takeover.
However, 888 said in a statement that discussions about a deal collapsed after “a significant difference of opinion on value with a key stakeholder”.
“The board of the company has agreed with William Hill to terminate discussions,” 888’s statement added.
William Hill had targeted 888 hoping to benefit from its strong in-house technology. Cost savings and improved exposure to international markets, particularly the US, were also attractive.
Gambling firms have begun to seek faster growth and more customers through online operations to offset the impact of increasing tax and regulations.
888 shares sank more than 12% or 20.75p to 150p in morning trading, while William Hill rose slightly, adding 2.7p to reach 385.4p.
888 also gave an update on its performance, saying trading was comfortably in line with expectations.
Additional reporting by Reuters