888 has received a takeover approach from William Hill
888 announced about this after the information was given by The Times newspaper that William Hill is planning to speed its dilatation of online gambling functions.
The Times talked about the preliminary deal between William Hill and 888 Holdings about 210p cost per share.
888 shares, consisting of poker, bingo game and casino, raised up to 21% at 175p by 14.59 GMT, increasing their trading number in 5 times. But the share of William Hill decreased by 3.5% to 376.2p for a share.
According to 888, “Our Company has got an approach as to the agreement from William Hill, but there are no firm offers yet.”
Based on some sources from the industry, The Times supposed that the agreement could get stuck as one of the founders from Israel expected to get 300p per share. In 2011 the company has already survived the useless takeover by Britain’s Ladbrokes.
The analyst from Panmure Gordon Karl Burns explained that the price of 210p is really good as William Hill would hardly ever offer more.
“The deal might not be made as this could seriously strain the balance sheet of William Hill.”
Due to the intensification of various taxes and regulations in the gambling industry, operators turn their head to online gambling facilities.
The gambling provider Bwin.Party is thinking about several offers made in November, and Deutsche Bank is negotiating about this.