Bally’s Intralot have agreed to extend the deadline of their takeover talks with William Hill owner Evoke Group for another three weeks.
The original deadline, by which the Greco-American firm had to either make a formal offer or walk away from the negotiating table, came to an end at 5pm GMT on Monday.
However, both parties have agreed to an extension in the hope that a mutually beneficial deal can be struck to end Evoke’s beleaguered time as owner of the British bookmaking outfit.
Constructive Discussions
It was revealed back in April that Bally’s Intralot, a company created when the Greek lottery firm acquired the American casino brand in a £2.3 billion deal last October, were interested in buying the rights to the William Hill brand.
Those rights have been the property of the Evoke Group since 2022, when they acquired the company from Caesars Entertainment for £2 billion.
They took on a significant amount of debt to finance the agreement, and with performance mediocre at best since, Evoke is vulnerable to a buyout – either as a whole entity or its individual brands, which also include 888 and Mr Green.
For an operator keen to gain extra leverage in the UK market, William Hill is a renowned brand with plenty of history – the ideal entry point for Bally’s Intralot into the betting industry on these shores.
They initially offered 50p per share to Evoke Group members, with an all-share purchase or partial cash alternative both put on the table.
That valued William Hill at around £225 million, with Evoke given until the close of business on Monday to green light the sale or end negotiations.
Although progress in the talks has not been significant enough to seal a deal, the agreed extension under Takeover Panel rules has set a revised date of June 8 for completion. Bally’s Intralot can, in that time, revise their offer in terms of ‘the price, the form and mix of consideration and the structure of the transaction.’
Neither firm has made any official announcement on the takeover as yet, a spokesperson for Evoke revealed that ‘constructive discussions’ had taken place.
Pursued with Conviction
Evoke took on debts of around £1.8 billion to make their initial purchase of William Hill possible.
It’s reported that the vast majority of that sum is still outstanding four years later, with nearly £1 billion of that set to become repayable in 2028.
Such a weak position makes Evoke vulnerable to investors, while the company themselves have been open to the idea of a sell off in the wake of the government’s Autumn Budget last November.
With the tax hikes set to hit profit margins, Evoke underwent an emergency strategic review – they decided to close 270 William Hill betting shops in the first half of 2026 as part of a cost cutting exercise.
Other options on the table include the complete sale of Evoke as a group, or cashing in on their individual brands – William Hill being the most obvious target.
If Bally’s Intralot do come up with an offer that is accepted, it would mark their first entry into the UK market – both as an online operator and on the high street.
They are certainly in a strong position financially, with their first quarter results – published this morning – revealing an excellent start to 2026.
Revenue for January-April amounted to £232.7 million, which was a mammoth increase of 180% year on year – of course, that was prior to Intralot’s acquisition of Bally’s.
But, just like William Hill, the company is saddled with mounting debts, with the recently released figures confirming a £1.5 billion black hole in Bally’s Intralot’s finances.
If they were to successfully bid for William Hill, that net debt would rise to £3.4 billion – that, presumably, is a major spanner in the works for any takeover plan.
However, so exposed to the online market is Evoke – the sector perhaps worst hit by the government’s catastrophic tax rises, it’s possible that a cut-price deal may be agreed just to get the buy-out over the line.
General betting duty, which is paid on online sports bets, will rise from 15% to 25% in April 2027, with the hike on remote gaming from 21% to 40% already enacted.
Speaking on an earnings call with investors, Bally’s Intralot CEO Robeson Reeves commented:
“We see a compelling opportunity to bring our operating model to a significantly larger business and the potential to transform its financial performance through synergies we are uniquely positioned to deliver.
“This is an opportunity we’re pursuing with conviction.”