Evoke in £225 Million Takeover Talks with Bally’s Intralot

Evoke, the owner of William Hill, has confirmed it is in discussions with Greek lottery and gaming operator Bally's Intralot regarding a potential £225 million takeover.

The group stated on Monday morning that the indicative offer stands at 50p per share and is expected to be structured primarily as an all-share deal, with a partial cash alternative. The confirmation follows media speculation over the weekend.

In a separate statement, Bally’s Intralot said it believes a merger with Evoke “would have the potential to deliver substantial strategic and operational synergies, including enhanced scale, an expanded geographic footprint and opportunities for cost efficiencies”.

Chief executive Robeson Reeves said: “We have built a business with a margin profile that stands out in this industry. Evoke has the scale.

“We see a compelling opportunity to bring our operating model to a significantly larger business, and the potential to transform its financial performance through massive synergies that we are uniquely positioned to deliver. This is an opportunity we are pursuing with conviction.”

Bally’s Intralot has until 5pm on May 18 to confirm a firm intention to make an offer or withdraw.

Strategic review and market pressures

Evoke, which also owns 888 Holdings and Mr Green, has been undergoing a strategic review following the UK’s recent budget, which increased remote gaming duty to 40%.

While betting shops were not directly impacted by the tax rise, Evoke recently confirmed plans to close around 200 retail locations from May, citing the financial impact as a key factor.

David Brohan, gaming and leisure analyst at Goodbody, said the development was “no surprise” given recent speculation.

He added: “Bally’s Intralot has a podium position in the UK iGaming market, and we view this possible deal as a smart move from them against the backdrop of a more challenging operating environment post the UK tax rises.”