⁍ Caesars is in advanced takeover talks with William Hill that value the British bookmaker at 2.9 billion pounds ($3.7 billion)
Caesar is considering offering 272 pence per share and William Hill’s board was inclined to recommend such an offer to shareholders.

---

⁍ Caesar only holds 20% of its U.S. joint venture with William Hill but the business is built on a presence in Caesars casinos and its brand name.

---

– Caesars Entertainment is trying to buy the second-biggest bookmaker in the UK in a $3.7 billion deal that would give the casino operator full control of the country’s sports-betting and online business. Caesars—which owns 20% of the William Hill joint venture that operates in the US—was considering an offer of 272 pence per share and the British bookmaker’s board was inclined to recommend such an offer to shareholders, the companies said on Monday, per Reuters. William Hill shares jumped to more than 312 pence on Friday after it said it had received separate offers from Caesars and buyout group Apollo. Those gains were handed back on Monday, however, leaving the stock at 273 pence, suggesting that even if Apollo counters, investors now expect the price to be far lower. Caesars only holds 20% of its US joint venture with William Hill but the business is built on a presence in Caesars casinos and its brand name, which the casino owner said it would have the right to terminate in the event of an Apollo buyout. The bid significantly undervalues the company but there seems limited scope for bid competition due to the joint venture terms and also since William Hill’s board said it would be minded to recommend the offer, Jefferies analysts said. Apollo did not immediately respond to a Reuters request for comment outside usual business hours. Stifel analyst Bridie Barrett said the brokerage’s valuation range for William Hill is 270 pence to around 400 pence. “While a termination of the relationship with William Hill under new ownership makes little business sense, it does add risk for a private equity acquisition … a price at the upper end of our range is unlikely.”