Entain hires bankers to prepare for sale of PartyPoker - report

12th Mar 2024 12:40

(Sharecast News) - Ladbrokes owner Entain has reportedly hired bankers to prepare for a sale of PartyPoker as it seeks to fend off activist investors by reinvigorating its core operations.

According to Sky News, Entain is working with advisers from Oakvale Capital on a prospective sale of the online poker business.

Industry sources who have been contacted about the sale told Sky they expected it to fetch around £150m.

Its valuation represents a huge cut on the £5bn that PartyGaming, PartyPoker's then parent, was worth on the day of its London flotation in 2005.

The business, which has seen a mass exodus of customers in recent years, is non-core to Entain's business.

As well as Ladbrokes, Entain owns Coral and a stake in BetMGM, a major US betting player.

At 1325 GMT, the shares were up 4% at 764.20p.

Entain declined to comment on the report.