In May, 888 announced the sale of its Latvian business to Paf for up to €28.3m. Paf will pay an initial €24.0m in cash upon completion and a further €4.3m in 2024. The Latvian business operates under 888’s William Hill and Mr Green brands and will continue to use these brands in Latvia for a limited period under a brand license provided by 888. The sale of the Latvian business helps 888 execute its integration program, generate cash proceeds from a non-core market, and support its deleveraging plans.
The sale comes after FS Group, an investment vehicle backed by former GVC chief executive Kenny Alexander, acquired a 6.57% stake in 888. FS Group holds a 4.55% stake in the group, while the remaining 2.02% was transferred by Shay Segev, Alexander’s successor. This investment is a significant development for 888 in 2023.
Earlier in 2023, Itai Pazner left his role as chief executive, and Lord Mendelsohn is currently serving as interim executive chair while the search for a permanent replacement continues. In July 2022, 888 completed the acquisition of William Hill’s non-US assets from Caesars for £1.95bn. Despite taking on significant debt, 888 performed well in the 2022 financial year, with a substantial increase in revenue and adjusted EBITDA rise. However, organic revenue declined when considering the impact of the William Hill acquisition.
