William Hill owner Evoke considers sale or break-up of business following budget tax hikes

The owner of William Hill is considering a sale or break-up of the business having launched a strategic review following last month's budget.

Evoke, which also runs the 888 and Mr Green brands, had warned after the budget that the tax hikes announced by chancellor of the exchequer Rachel Reeves would result in an annual hit of around £125-135 million, before mitigation, once fully implemented from April 2027.

The company said on Wednesday that it had "decided to undertake a review of the company's strategic options, which will include the consideration of a range of potential alternatives to maximise shareholder value, including, but not limited to a potential sale of the group, or some of the company's assets and/or business units".

Bankers from Morgan Stanley and Rothschild have been appointed as joint financial advisers in connection with the review.

Evoke, formerly known as 888 Holdings, completed the £2 billion acquisition of William Hill in 2022.

Shares in the company, whose net debt stood at £1.82 billion at the end of June, have plummeted from a high of 77.8p this year but were nearly 8.5 per cent higher on the back of the news at 23.7p on Wednesday afternoon.

Reeves increased remote gaming duty to 40 per cent from 21 per cent from April next year in the budget, while a new online sports betting duty of 25 per cent, excluding horseracing, will replace the existing general betting duty of 15 per cent 12 months later.

Evoke chief executive Per WiderstromCredit: 888 Holdings

In response Evoke's chief executive Per Widerstrom said its mitigation plans would "involve a significant reduction in investment into the UK, and, very regrettably, the likely need for thousands of jobs to be cut up and down the country".

It was subsequently reported by Sky News that Evoke was considering selling off its Italian operation.

The company told shareholders on Wednesday there was "no certainty" that any transaction would arise and that further announcements would be made "when and if appropriate".

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