William Hill and Amaya Abandon Merger Talks
William Hill and Amaya desert merger talks
18 October 2016
British bookmaker William Hill and Amaya, owner of the world's greatest online poker business, have actually ended talks of a possible ₤ 4.5 bn merger.
William Hill said it took the decision, external after canvassing views from a number of major shareholders.
Last week, its most significant investor, Parvus Asset Management, greatly criticised the tie-up.
Canada's Amaya, external, which owns PokerStars, said that remaining independent was the very best move for shareholders.
Amaya stated: "Discussions have concluded, and Amaya and William Hill have determined that they will no longer pursue the merger."
'Limited reasoning'
News of the talks emerged previously this month, with William Hill stating a merger would produce "a clear global leader across online sports wagering, poker and gambling establishment".
However, Parvus said the deal had "restricted tactical reasoning" and would "damage investor value".
The FTSE 250 bookmaker is wanting to maintain as numerous of its close rivals merge. Paddy Power and Betfair have combined to create a FTSE 100 betting firm, while Ladbrokes and Coral are combining to become the UK's greatest High Street bookie.
Ladbrokes reported a 12% rise in third-quarter income on Tuesday, boosted by online growth and bad results for fan-favourites Manchester United and Barcelona.
William Hill, which ousted its president in July after a string of profit cautions, saw off a takeover technique from gambling establishment firm Rank and online operator 888 2 months earlier.
Meanwhile, Amaya's shares have actually fallen 30% in the past 12 months in the middle of an insider trading investigation into its previous chief executive, the danger of a $870m (₤ 710m) fine in Kentucky, and slowing prospects for online poker.
William Hill and Amaya desert merger talks
18 October 2016
British bookmaker William Hill and Amaya, owner of the world's greatest online poker business, have actually ended talks of a possible ₤ 4.5 bn merger.
William Hill said it took the decision, external after canvassing views from a number of major shareholders.
Last week, its most significant investor, Parvus Asset Management, greatly criticised the tie-up.
Canada's Amaya, external, which owns PokerStars, said that remaining independent was the very best move for shareholders.
Amaya stated: "Discussions have concluded, and Amaya and William Hill have determined that they will no longer pursue the merger."
'Limited reasoning'
News of the talks emerged previously this month, with William Hill stating a merger would produce "a clear global leader across online sports wagering, poker and gambling establishment".
However, Parvus said the deal had "restricted tactical reasoning" and would "damage investor value".
The FTSE 250 bookmaker is wanting to maintain as numerous of its close rivals merge. Paddy Power and Betfair have combined to create a FTSE 100 betting firm, while Ladbrokes and Coral are combining to become the UK's greatest High Street bookie.
Ladbrokes reported a 12% rise in third-quarter income on Tuesday, boosted by online growth and bad results for fan-favourites Manchester United and Barcelona.
William Hill, which ousted its president in July after a string of profit cautions, saw off a takeover technique from gambling establishment firm Rank and online operator 888 2 months earlier.
Meanwhile, Amaya's shares have actually fallen 30% in the past 12 months in the middle of an insider trading investigation into its previous chief executive, the danger of a $870m (₤ 710m) fine in Kentucky, and slowing prospects for online poker.