888 and Rank Walk Away from William Hill Deal
Published on by Andrew Mills
It has been one of the main talking points in the iGaming world over recent weeks and months, after a comprehensive and somewhat harsh refusal of the first offer made by 888 Holdings and Rank Group for William Hill, what would happen next? Finally, we have our answer, as 888 and Rank have backed away from the deal.There have been several attempts by the two companies to find a deal that Hill would agree to, which has proven more complicated than perhaps many would’ve expected, and has ultimately led to 888 and Rank abandoning the plans.
Original announcement
It was in July of 2016 that Rank and 888 first made their intentions clear when it came to the takeover of William Hill.The two companies were expected to pay in the area of £3 billion for the mega merger of the three.In an industry where mergers are partnerships have become regular after increased taxes and regulations, many assumed that it would just be a matter of time before the deal was made for William Hill.After the initial offer of 339p a share was rejected by William Hill in no uncertain terms, with some strong words being used by Hill, the offer was increased to 352p a share.However, William Hill stated that they felt the firm had been undervalued substantially for a second time and refused this later deal as well.
The end of the road
After the rejection of this second offer, it appears that Rank and 888 decided that they had gone as far as they were willing to in their efforts for a takeover, and decided to walk away from the deal.What happens next remains to be seen, with the CEO of 888 making his disappointment clear, but it seems that time has run out on this particular deal at least.