Last year, Caesar Entertainment started the auction process of William Hill with the initial bit amount of £1.5bn. Three majored companies entered the race, Apollo Global, CVC Capital Partners, and 888 Holdings. Taking the bidding price higher, 888 Holdings bought William Hill at the whopping price of £2.9bn, in the end.
After the acquisition, 888 stated that it was a great deal that will give exposure to the betting industry. In addition, the deal will see the blend of online gambling together with 1,400 betting shops.
Now, 888 management’s aim is to provide a safe gambling environment to the public with huge diversification of the gambling sector. In addition, the 888 company plans to take advantage of the sports assets of William Hill. They will achieve this through a new concept of cross-marketing.
888 Next Step
After the William Hill acquisition, the company expects to generate £100m yearly using the William Hill assets and the cross-marketing strategy. Furthermore, William Hill was extremely successful in the UK region, which will give good profit to 888 Holdings.
William Hill is a well-known brand that will mean a lot for 888’s portfolio. There are no statements about future plans, but the authorities suppose that the company plans on expanding the betting business.
Effects on Betting Industry
This kind of acquisition is quite common in different markets, which is done in order to expand the business. Likewise, in the betting industry, these deals provide ample betting services to the public in a secure environment. Now, the public will have much more options where to place their bets. Undoubtedly, this acquisition symbolizes the rise of the gambling industry in the present era as the companies are giving much more to the public.