The Briths gambling company William Hill Plc has big plans. It wants to expand its digital business and strengthen its European operations. The Brexit is an important reason for this. To make the expansion possible, William Hill offers to buy Mr. Green & Co AB for 308 million dollars, which is 242 million pounds.
Approval of the shareholders William Hill
William Hill wants to expand its gambling activities to the United States because the rules across the Atlantic have become less tight. Other European companies are interested in locations in the United States as well. The deal first had to be approved by Mr. Green & Co’s board. The shareholders, who own about 40 percent of Mr Green, accepted the offer. It’s a new step for a still-growing company. In its third quarter, the revenues of Mr. Green & Co increased with almost 51 percent!
Combination of three companies
This deal means that William Hill, Mr Green and Redbet will become one. This will be good news for the British company, since it doesn’t have to rely on Great Britain that much anymore. Currently the regulation in the home market are tightened.
Good news for business
The deal is good news for business. After the news the William Hill shares increased with more than 8 percent! The shares of Mr Green even soared to 47 percent! Exciting news for this company, which was established in 2007 and currently operates in thirteen markets. Mr. Green has gambling licenses in Britain, Malta, Latvia, Denmark, Italy and Ireland. Sweden will probably be added to the list at the end of 2018. The company also has an international office in Malta, which is an advantage for William Hill now that Great Britain is going to leave the European Union.
The London based company needs to an international hub, chief executive Philip Bowcock told the press. Like Malta, Gibraltar is an important place for online gambling. An international over here means that William Hill is able to escape the close watch of British authorities when it comes to their online and traditional gambling operations. For example, the Ministry of Finance announced that a tax on betting via offshore sites is going to increase from 15 percent to 21 percent. Besides that, there’s going to be a cut in the maximum stakes on fixed-odd betting terminals in October 2019. This is bad news for the high street betting shops of William Hill, but luckily thanks to the deal good things are on the horizon as well.