William Hill owner Evoke considers sale or breakup after budget tax rises
NegativeFinancial Markets
- Evoke, the owner of William Hill and 888, is contemplating a sale or breakup of its operations following a significant £135 million impact from recent tax increases announced in the UK budget. The company's value has plummeted over 90% since acquiring a chain of 1,400 bookmakers, prompting the need for strategic reassessment.
- This potential restructuring is crucial for Evoke as it seeks to stabilize its heavily indebted financial situation and secure its future in a challenging regulatory environment. The involvement of Morgan Stanley and Rothschild indicates the seriousness of the situation.
- The broader gambling industry is facing increased scrutiny and regulatory challenges, particularly with rising tax burdens that could affect profitability. Evoke's situation reflects a trend among gambling firms to reassess their operations in light of fiscal pressures, including potential divestitures of international arms, as seen with the consideration of selling its Italian operations.
— via World Pulse Now AI Editorial System