Confirmed: 888 agrees to buy William Hill’s international business for £2.2bn

888 Holdings has agreed a deal to acquire the international business of William Hill for £2.2bn ($3.04bn).

The confirmation of the merger comes a day after the online and gaming operator announced it was in advanced talks with William Hill’s parent company Caesars Entertainment.

Operator 888, whose brands include 888 Sport, 888 Casino and 888 Poker, stated that acquiring William Hill’s non-US assets will bring a "transformational opportunity" for it to further increase its revenue growth, and "create a global online betting and gaming leader."

According to both operators, the combination is expected to deliver a joint pre-tax cost savings of at least £100m annually. While on a pro forma basis, the group’s joint annual revenue and adjusted EBITDA would have been $2.5bn and $464m respectively in 2020.

888 CEO Itai Pazner said: "The acquisition of William Hill International is a transformational and hugely exciting moment in 888's history. This transaction will create one of the world's leading online betting and gaming groups with superior scale, exceptional brands, increased diversification, and a platform for strong growth."

"We have been incredibly impressed with the William Hill management team, and I look forward to working with them and the wider William Hill team to create great products for our customers, driven by best in class technology, powerful brands, and benefitting from our significantly enhanced scale."

William Hill CEO Ulrik Bengtsson, added: "This transaction is a testament to the progress William Hill has made over the last two years, our unrelenting focus on customer, team and execution and, most importantly, the dedication and commitment of William Hill colleagues.

"I am immensely proud of what we have achieved and I would like to take this opportunity to thank all of our colleagues who have made this possible. I look forward to working with 888 as we transition to the new ownership structure."

The completion of the acquisition is subject to approval by 888 shareholders, with the majority so far supporting the takeover. Regulatory approvals also need to be met and the merger is expected to be completed during the first half of 2022.

The merger follows Caesars Entertainment acquiring William Hill for £2.9bn in April, to help grow the combined companies US footprint. At the time Caesars stated its intentions to sell the non-US division of William Hill, which includes the operator’s UK, European and international online and retail operations.

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