888 to sell bingo business to Broadway Gaming

888 will sell the B2C and B2B business to Broadway Gaming Group’s Saphalata Holdings as it concentrates on its core casino and betting products.

UK.- 888 has agreed to sell its B2C and B2B bingo business to Broadway Gaming Group’s Saphalata Holdings for up to $54m (€47.9m).

The agreement comes as 888 aims to focus on its core casino and betting business following its deal to buy William Hill’s non-US business from Caesars Entertainment in September.

Saphalata will pay an initial $50m on a cash-free, debt-free basis on completion, with a further $4m six months on depending on revenue-based performance.

888 will give Saphalata all of its bingo assets, including technology, operations and consumer brands. It operates bingo offerings under its Dragonfish brand and several B2C brands. 888 will also offer business services to Broadway to aid the transition.

888 CEO Itai Pazner said: “Following a strategic review, we have taken the decision to sell the bingo business.

“This strategic transaction will enable 888 to further increase its focus on its core platform and unified, scalable and proprietary technology, and grow our key product verticals of casino, sport and poker, as we continue in our mission to be one of the world’s leading online betting and gaming businesses.”

David Butler, CEO of Broadway Gaming, said: “In acquiring Dragonfish, Broadway will have access to its performance capabilities and customer base. We are delighted to reach an agreement with 888 to acquire its bingo business and platform.

“We have worked intensively with the 888 group over the course of the last few months and have been very impressed by the quality of the bingo platform and product, the B2C and B2B businesses, its approach to safer gambling and player protection, and above all the management team.”

Meanwhile, 888 has gained regulatory clearance for its £2.2bn acquisition of William Hill’s European assets from Caesars Entertainment.

If its keeps William Hill’s UK retail betting shops, the acquisition will mark 888’s first entry into the land-based business.