Betting company 888 has announced its intention to sell certain assets within its U.S. operations to Hard Rock Digital.
British betting and gaming firm 888 Holdings disclosed on Thursday that it plans to divest from its U.S. consumer-facing business by the fourth quarter of 2024.
This decision follows the company’s recent revelation regarding the potential sale of its U.S. consumer-facing division as part of a strategic review. 888 anticipates that exiting this sector will yield an estimated recurring annual benefit to adjusted core profit of approximately £25 million ($31.5 million) starting from 2025.
The group forecasts incurring net one-off cash costs of around £40 million from this exit strategy.
In addition, 888 announced its intention on Tuesday to rebrand as Evoke plc to better represent its multi-brand model.
CEO Per Widerstrom aims to refocus the company on core markets, streamline its operating model with an emphasis on automation and artificial intelligence, eliminate redundancies, and achieve greater cost efficiencies.
888, known for its online casino, poker, and sports betting offerings under the 888 brand umbrella and Mr Green, reported a 41% increase in adjusted core profit in 2023.
This growth can be attributed to the benefits derived from its £2 billion acquisition of William Hill in 2022 from Caesars Entertainment.