888 Finalizes Agreement with Hard Rock Digital for U.S. Assets Sale
888 Holdings, a global leader in the betting and gaming industry known for its flagship brands such as William Hill, 888, and Mr Green, has completed a strategic evaluation of its U.S. Business-to-Consumer (B2C) operations. This review has led to an agreement with Hard Rock Digital for the sale of specific U.S. assets. The deal is subject to regulatory approvals and other conditions, with expectations to conclude in phases, aiming for full completion by the fourth quarter of 2024.
As part of this strategic shift, 888 Holdings has initiated a phased withdrawal from its remaining U.S. B2C activities, aiming for a complete exit by the end of 2024. This decision is anticipated to yield a recurring annual benefit of approximately £25 million to the Adjusted EBITDA from 2025 onwards, with plans to reinvest around £10 million of these savings into growth and value-creation efforts.
This move, along with the anticipated sale and exit outcomes, was previously factored into the financial forecasts shared by 888 Holdings on March 26, 2024. The company estimates net one-time cash expenditures of about £40 million related to its U.S. withdrawal, covering costs including brand license termination fees, with these payments spread from 2024 to 2029.
