888 Holdings has agreed to sell its entire B2C and B2B bingo activities to Broadway Gaming Group member Saphalata Holdings for $50 million.
Only if Bingo is reorganised and the new organisation has its own licence to operate under British regulations is the sale expected to be completed in the second quarter of next year.
According to the deal, 888 will provide Broadway with a variety of transitional services for up to a year after the project is completed, on a fee-by-fee basis.
The 888 Group opted to sell the bingo business in order to focus more resources on its core platform, allowing it to grow faster in its core markets.
“Following a strategic evaluation, we have decided to sell the bingo business,” 888 CEO Itai Pazner said. As we continue our mission to be one of the world’s leading online betting and gaming businesses, this strategic transaction will allow 888 to focus even more on its core platform and unified, scalable, and proprietary technology, as well as grow our key product verticals of casino, sport, and poker.”
“We are happy to strike an agreement with 888 to buy its bingo company and platform,” said David Butler, CEO of Broadway Gaming. We will be able to create an even bigger worldwide footprint in important regulated bingo areas by combining these with our existing company and brands, which include ‘Butlers Bingo.’
Willian Hill’s non-core business outside of the United States was purchased by 888 from Caesars in September 2021. 888 got access to two million active customers in the United Kingdom, as well as 1,400 betting shops, as a result of the transaction.
In 2020, the bingo business generated around $65 million in sales and $7.4 million in EBITDA.