Evoke, the London-listed gambling company that owns William Hill and the 888 online casino brand, has confirmed it is in takeover talks with US casino operator Bally's Intralot. The heavily indebted firm said discussions were ongoing regarding a possible offer at 50p a share, valuing the group at £225m.
The potential deal comes four years after Evoke, then known as 888 Holdings, paid £2.2bn to acquire William Hill's network of 1,400 bookmakers. Since then, the company's shares have fallen by 90%. Evoke has net debt of about £1.8bn and a market value of just £175m.
Evoke told investors that any deal would likely involve an all-share combination with Bally's, with a partial cash alternative. However, it cautioned that there could be no certainty an offer would be made. Bally's must confirm its intention by 5pm on 18 May under City takeover rules.
The company has faced significant financial pressures, including an increase in duty on online gaming from 21% to 40%, and on online sports from 15% to 25%. Evoke chief executive Per Widerström said these changes would cost the business up to £135m a year. Last month, Evoke announced it would close around 200 William Hill betting shops from May, blaming cost pressures including the government's tax rises.
Evoke has also grappled with management issues. In 2023, it removed its chief executive and suspended VIP customer accounts in the Middle East amid an internal investigation into anti-money laundering failures. This followed a £9.4m fine in 2022 for failings that allowed customers to amass huge losses during the pandemic.
Bally's, which sponsors Nottingham Forest Football Club, was bought by Greek company Intralot last year. It owns brands including online casino Jackpotjoy and operates casinos in the US and Newcastle.
