William Hill Granted Permission to Acquire MRG

Back in October, it was first rumored and then officially announced that mammoth UK-based bookmaker, William Hill – as a part of their post-Brexit escape plan – is in the process of acquiring MRG, the operator of many popular online casino brands, including Mr Green, first and foremost.

The purchase – estimated to be in the ranks of $307.4 million – is due to be finalized on January 25th after William Hill was finally given the green light by authorities in relevant jurisdictions to carry out this acquisition.

The authorizations in question come from regulators in all the markets whose licenses MRG holds: UK, Ireland, Sweden, Malta, Denmark, Italy and Latvia.

Diversification With Digital in Mind

The company's CEO, Philip Bowcock, commented in October, at the time of the original announcement, that the acquisition would “accelerate the diversification of William Hill,” making them more digital and more international in nature.

He elaborates: “MRG will provide William Hill with an international hub in Malta with market entry expertise and strong growth momentum in a number of European countries. William Hill will move from a single brand to a suite of brands that can maximise growth opportunities moving forward in new and existing markets.”

The MRG integration and merger with William Hill is led by Chief Digital Officer, Ulrik Bengtsson, who has had a multitude of experiences with Nordic iGaming businesses while he presided over Betsson as their CEO.

As part of the purchase, MRG's shareholders can obtain SEK69 per share...

...and the board of directors have suggested to shareholders that they should accept this offer. January 17th is the final day for this offer to be accepted.

Necessary Restructuring

Unfortunately, with every merger comes the unfortunate task of having to review the existing job positions...

...In the case of William Hill, over 100 job positions will be restructured and formally changed in the cities of London and Leeds, as well as in Gibraltar.

Some layoffs and severances are expected, although the company assures the employees there that most of them will simply be relocated to new places or transferred to new positions.

It has been confirmed that Mr Green and Redbet staff is in the safe zone and will not be a part of this review. The statement reads that “no decision will be taken on any material changes to MRG’s employees and management or to the existing organisation and operations, including the terms of employment and locations of the business.”

William Hill announced that the UK and Ireland team will be based in Gibraltar, while an international hub is prepared in Malta. In Bowcock's words: “We are getting ready to go international hub. As a part of Brexit, we have to create an international hub outside of Gibraltar operations.”

Source:

“Willaim Hill gains regulatory approval for MRG acquisition”, igamingbusiness.com, January 7, 2019.