888 completes online bingo sale to Broadway Gaming7th July 2022 1:38 pm GMT
London-listed betting and gaming operator 888 Holdings has completed the sale of its customer-facing and B2B bingo businesses for $45.25m.
Following an agreement last December, 888’s online bingo businesses have been sold to Broadway Gaming subsidiary Saphalata Holdings for $43.25m, with a further $2m unconditionally payable in one year.
888 has also agreed to continue to provide Broadway with certain transitional services for a period of up to 12 months from completion, in accordance with an agreed fee schedule.
The bingo business, which is mostly UK-based, generated gaming revenue of $25m during the first half of this year, and around $54m in the last twelve months.
“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,” said 888 CEO Itai Pazner. “As part of a dedicated bingo operator, I am very confident in the future prospects of the bingo business and wish the team well.
“The successful completion of this strategic transaction enables 888 to further increase its focus on integration with William Hill and delivering on our mission to be one of the world's leading online betting and gaming businesses.”
The deal expands Broadway Gaming’s portfolio of bingo brands, which includes Butlers Bingo, Glossy Bingo, Rosy Bingo, Dotty Bingo and Bingo Diamond, among others.
“We are delighted to complete the acquisition of 888's high quality bingo business and platform,” said Broadway Gaming CEO David Butler. “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.
“We see further expansion opportunities in both the B2C and B2B segments, and are very excited about working with the management team to deliver on our plans for the future, as we look to become the pre-eminent online bingo business globally.”
Shares in 888 Holdings plc (LSE:888) were trading 6.81 per cent lower at 156.10 pence per share in London earlier Thursday.