FS Gaming, an investor group including the former Chairman at GVC (now Entain), Lee Feldman, and former CEO, Kenny Alexander, are pushing for changes at 888 Holdings to boost its value.
Other investors in the group include: Stephen Morana, Daniel Shribman and B. Riley Principal Investments.
The consortium has built up a stake of more than 6% in the company. Additionally, Bloomberg reports that the group has reached out to 888 with proposals that could include leadership and strategy changes.
Shares of 888 have fallen about 61% in London trading over the past 12 months.
Alexander and Feldman are veteran executives in the gaming industry and, with their combined industry knowledge, could be aiming to bring up the share price and overall value of 888.
Former 888 CEO Itai Pazner stepped down with immediate effect in January, in relation to an investigation regarding whether some of the British gambling group’s VIP accounts violated money-laundering policies.
Recently, 888 also agreed to sell its Latvian operations to Paf in a €28.3m ($30.2m) deal on a cash-free, debt-free basis. 888 also completed its acquisition of William Hill last year; however, 888 online’s revenue dropped around 3% to £1.9bn ($2.38bn) in the year ending December 2022, showing the company is wanting for growth.
An 888 spokesperson provided a comment to Gambling Insider and said: “We welcome the investment of FS Gaming which we believe reflects the significant value creation potential in our business.
“The Board remains highly confident in its long-term strategy to maximise value for shareholders. We look forward to updating and engaging with all our shareholders as we continue to deliver against our clear strategic and operational priorities.”
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