Entain reportedly seeks buyer for PartyPoker
It’s been reported that the gambling giant has hired advisors to explore a sale.
UK.- London-listed Entain has reportedly hired advisors to seek a buyer for its PartyPoker online poker brand. According to Sky News, the FTSE 100 company, which owns Ladbrokes and Coral, has brought in advisers from Oakvale Capital.
The move is said to be aimed at focusing on its core operations amid complaints from activist investors about a spate of acquisitions. Observers have estimated that the brand could go for £150m, a long way from the £5bn valuation that the brand’s former parent PartyGaming achieved upon its flotation in 2005.
PartyPoker was launched by PartyGaming in 2001. In 2011, the parent company merged with bwin to form Bwin.Party Digital Entertainment. Entain, then GVC Holdings, bought the combined company for £1.1bn in 2016.
The company has not commented on the reports. However, when reporting its full-year results earlier this month, it said it had created a Capital Allocation Committee to review markets, brands and verticals “to help focus the organization, improve competitive positions, and maximize shareholder value”.
Entain is currently led by interim chief executive Stella David following the departure of Jette Nygaard-Andersen. It reported full-year post-tax corporate losses of £879m after reserving £600m for a deferred prosecution agreement with the UK Crown Prosecution Service over historic failings.
Meanwhile, the board of Entain has announced the appointment of Ronald J. Kramer as an independent non-executive director. He is chairman and CEO of the New York-based diversified management and holding company Griffon Corporation. He served as president of Wynn Resorts from 2002 to 2008.
