William Hill and Amaya Abandon Merger Talks
William Hill and Amaya abandon merger talks
18 October 2016
British bookmaker William Hill and Amaya, owner of the world's most significant online poker company, have actually ended talks of a possible ₤ 4.5 bn merger.
William Hill stated it took the decision, external after canvassing views from a variety of major investors.
Recently, its most significant financier, Parvus Asset Management, heavily criticised the tie-up.
Canada's Amaya, external, which owns PokerStars, stated that staying independent was the very best move for investors.
Amaya stated: "Discussions have actually concluded, and Amaya and William Hill have actually identified 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 worldwide leader throughout online sports wagering, poker and casino".
However, Parvus said the deal had "limited tactical logic" and would "destroy shareholder worth".
The FTSE 250 bookie is looking to keep up as much of its close competitors merge. Paddy Power and Betfair have merged to develop a FTSE 100 wagering firm, while Ladbrokes and Coral are combining to become the UK's biggest High Street bookie.
Ladbrokes reported a 12% increase in third-quarter revenue on Tuesday, improved by online development and bad outcomes for fan-favourites Manchester United and Barcelona.
William Hill, which ousted its chief executive in July after a string of revenue cautions, saw off a takeover technique from gambling establishment firm Rank and online operator 888 two months back.
Meanwhile, Amaya's shares have actually fallen 30% in the past 12 months amid an insider trading investigation into its former president, the threat of a $870m (₤ 710m) fine in Kentucky, and slowing potential customers for online poker.
William Hill and Amaya abandon merger talks
18 October 2016
British bookmaker William Hill and Amaya, owner of the world's most significant online poker company, have actually ended talks of a possible ₤ 4.5 bn merger.
William Hill stated it took the decision, external after canvassing views from a variety of major investors.
Recently, its most significant financier, Parvus Asset Management, heavily criticised the tie-up.
Canada's Amaya, external, which owns PokerStars, stated that staying independent was the very best move for investors.
Amaya stated: "Discussions have actually concluded, and Amaya and William Hill have actually identified 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 worldwide leader throughout online sports wagering, poker and casino".
However, Parvus said the deal had "limited tactical logic" and would "destroy shareholder worth".
The FTSE 250 bookie is looking to keep up as much of its close competitors merge. Paddy Power and Betfair have merged to develop a FTSE 100 wagering firm, while Ladbrokes and Coral are combining to become the UK's biggest High Street bookie.
Ladbrokes reported a 12% increase in third-quarter revenue on Tuesday, improved by online development and bad outcomes for fan-favourites Manchester United and Barcelona.
William Hill, which ousted its chief executive in July after a string of revenue cautions, saw off a takeover technique from gambling establishment firm Rank and online operator 888 two months back.
Meanwhile, Amaya's shares have actually fallen 30% in the past 12 months amid an insider trading investigation into its former president, the threat of a $870m (₤ 710m) fine in Kentucky, and slowing potential customers for online poker.