Interactive
888 to leave the US following asset sale to Hard Rock Digital
By Phil - 28 March 2024
888, one of the world’s leading betting and gaming companies with internationally renowned brands including William Hill, 888 and Mr Green, has agreed the sale of selected assets to Hard Rock Digital.
It is expected that the disposal will be completed in a number of phases, with final completion expected in Q4 2024.
The group has commenced a controlled exit of its remaining US B2C operations, with the intention of fully ceasing operations by the end of 2024, subject to regulatory approvals and process. The exit of US B2C operations is expected to realise a recurring annualised benefit to Adjusted EBITDA of approximately £25m from 2025 onwards. The Group intends to reinvest approximately £10 million of these savings into growth and value creation initiatives.
The combined net impact of the sale and exit of US B2C were already incorporated into the financial targets that the Group announced on 26 March 2024. The Group currently expects to incur net one-off cash costs of approximately £40m in relation to the exit of the US, inclusive of the brand licence termination fee already announced, with such payments occurring from 2024 until 2029.
