Dublin-based Saphalata Holdings Ltd, a subsidiary of the Malta-based Broadway Gaming Group, has completed its purchase of the bingo business of 888 Holdings, a Gibraltar-based online gaming and betting giant. The transaction is estimated to cost $43.25m.
888 Holdings PLC has finalized the sale of its B2B and B2C Bingo businesses to Broadway Gaming’s Dublin-Saphalata Holdings. The agreed-upon cost consideration is $45.25m, out of which $43.25m is payable immediately while $2m is payable within one year. The transaction entails Saphalata receiving all of 888’s bingo assets which include consumer brands, technology, and operations. In addition, 888 will support Broadway with certain transactional services for up to 12 months at a fee.
The acquisition comes days after 888 Holdings completed its purchase of William Hill, which the company considers a significant step towards “becoming the world’s leading online betting and gaming businesses.” 888 acquired all William Hill non-US assets from Caesars Entertainment for $2.35 billion, a transaction that was first announced in September 2021.
Big Wins Both Parties
The sale comes about seven months after the company officially announced its decision to sell all its bingo operations to Broadway Gaming. This was back in December 2021, when 888 reported that the sale would facilitate its renewed focus on core online betting and gaming platforms owned by the company. The company has been undergoing a restructuring process, and this recent sale is a strategic step towards achieving its mission, as reported by 888 CEO Itai Pazner. In addition, Broadway’s goals will also be met in the process, seeing as the company is looking to expand its bingo network in a bid to lead the business on a global scale.
Broadway Gaming CEO David Butler expressed his excitement about the new acquisition stating:
Quote“We are delighted to complete the acquisition of 888’s high-quality bingo business and platform. By combining these with our existing business and brands, which include ‘Butlers Bingo,’ we will be able to achieve an even stronger global footprint in key regulated bingo markets.”
He added that Broadway has identified more opportunities to expand both the B2B and B2C segments of the business and that the Broadway team was looking forward to working with the 888 management team to ensure that all plans come to fruition. Butler also reported that the company is on a mission to become the “pre-eminent online bingo business globally.”
888 Non-executive Chairman Lord Mendelsohn also voiced his sentiments on the acquisition saying in part:
Quote“This combination brings together two high-quality businesses to create a powerful, global betting and gaming business. We believe the acquisition will create significant value for shareholders, creating a combined business with leading technology, products, and brands across sports betting and gaming. With a top-quality management team formed from talent from across both businesses, I am confident about our future plans.”
Pazner also thanked the bingo team for years of service and dedication to the company and wished them well as they prepare to transition to Broadway. Part of his statement read:
Quote“I would like to express my immense gratitude for all of the hard work of the bingo team over the years and, in particular, their unwavering commitment to the business since we announced the transaction. As part of a dedicated bingo operator, I am very confident in the future prospects of the bingo business and wish the team well.”
Major On-going Restructuring by 888
With William Hill merging with 888 Holdings, there has been a shift in the group’s management structure. Pazner announced that the current leadership is what the company needs to steer it towards achieving its set objectives, which include an estimated minimum pre-tax synergy of £100m by 2025.
Apart from the reshuffling of senior executives, the company has also appointed three independent non-executive directors (NEDs) to join the team. The 3 NEDs that will be part of the board are Andrea Gisle Joosen, Randy Freer, and Andria Vidler. Each of the NEDs brings years of substantive iGaming and marketing experience to the table.
888 CEO Itai Pazner has also since commented on the restructuring in leadership. He stated that the result is “an outstanding leadership team” that combines strengths across the businesses, giving them a robust platform that facilitates growth. Regarding the organizational structure shakeup, 888 Holdings Non-executive chairman Lord Mendelsohn said:
Quote“As well as further strengthening the group’s corporate governance structure, they each bring extensive and highly relevant skills and experience to our Board which will be of significant benefit to the group as it delivers its long-term strategic objectives as an enlarged business post the completion of our acquisition of William Hill.”
One Final Hurdle to Jump
As 888 Holdings embarks on the next stage in further developing its brand, there is one hurdle that needs to be overcome to guarantee success. This is a £1bn bond that the company secured to buy out William Hill. The debt was underwritten by JP Morgan and Morgan Stanley, which have since reported difficulty in getting investors to buy the debt. The hesitancy by investors has been attributed to the current financial state, which has left the market volatile.
Discover football-themed casino games inspired by the 2026 World Cup - from live dealer tables to crash games and online slots. You’ll find new ways to enjoy this world-class tournament beyond sports betting.
Stake leads the way in adventurous advertising in celebration of football. Going beyond the scope of ordinary and bringing to life something extraordinary - A football match in the sky.
Looking for the best crypto casino bonuses? Discover the top 7 crypto casinos offering generous welcome rewards, free spins, cashback deals, and ongoing promotions.
Casinos
Games
Jackpots
