Investment group including Kenny Alexander see voting rights in 888 reduce after agreement is terminated

A group of investors in William Hill's parent company 888 Holdings has seen its control of voting rights in the firm reduced following the termination of an agreement with Shay Segev, the chief executive of sports streaming company DAZN.

FS Gaming Investments, which includes former GVC Holdings chief executive and prominent racehorse owner Kenny Alexander, had built up a 6.57 per cent stake in 888 following the agreement with Segev, who was Alexander's successor at what is now called Entain.

The group had attempted to change the leadership at 888, including installing Alexander as chief executive, but talks were broken off after it was revealed the Gambling Commission had begun a review of the company's licence.

FS Gaming ended its agreement with Segev on Friday but they still retain their respective stakes of 4.55 per cent and 2.02 per cent in 888.

Other gambling industry figures involved in FS Gaming include Lee Feldman, the former chairman of GVC, and Stephen Morana, a former GVC board member.

FS Gaming had hoped to make Kenny Alexander 888's chief executiveCredit: John Grossick (racingpost.com/photos)

Apart from making Alexander 888's chief executive, FS Gaming had hoped to make Feldman chairman and Morana chief financial officer.

However, 888 revealed last month it was the subject of a licence review by the industry regulator prompted by the purchase of a stake in the company by FS Gaming.

888 said the commission had concerns regarding an HMRC investigation into GVC's former Turkish operation, "covering the time the individuals proposed to the board by FS Gaming were in senior leadership positions at GVC".

It subsequently emerged that Entain has set aside £585 million to cover a potential penalty following the HMRC investigation. A resolution to the investigation is expected in the fourth quarter of this year.

888 had been without a permanent chief executive since the departure of Itai Pazner in January, but the company has since appointed Per Widerstrom, the former boss of European gambling operator Fortuna Entertainment Group, to the role which he will take up in October.

The company's share price was up 1.2p at 117.2p on Monday afternoon.

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