Caesars Set to Acquire William Hill in a Few Weeks’ Time
Caesars has announced that it expects to complete its acquisition of William Hill (LON: WMH) by the start of April following confirmation from William Hill that it should receive all the required regulatory approvals in the next few weeks.
Caesars put in a bid worth £2.9 billion in September 2020 to purchase all William Hill issued and to-be issued share capital that it does not already possess. The bookmaker’s shareholders then approved the agreement in November 2020. It will see Caesars purchase 1.08 billion William Hill shares for £2.72 each.
It is planned that Caesars will hold on to William Hill’s US betting division and sell off the rest of the business. In the past Caesars said that it hoped to complete the acquisition in the second quarter of this year and the latest update from William Hill suggests that they are likely to meet that target.
According to William Hill, Caesars expects to obtain all remaining approvals from the relevant US authorities and other gambling regulators by 23 March. In preparation for this, the companies have scheduled a Scheme Court hearing on 30 March, at which the court will be asked to approve the acquisition.
Assuming that this proceeds as planned and all the other required conditions are satisfied, the acquisition should complete on 1 April. Under the terms of the deal, William Hill’s shares would then be cancelled five days later, on 6 April.
Caesars had some competition for the bookmaker from Apollo Global (NYSE: APO), but William Hill’s board unanimously agreed to the Caesars bid in September. This deal comes soon after Eldorado Resorts (NASDAQ: CZR) acquired Caesars in a $17.3 billion reverse-merger deal, which means the operator now controls 55 casinos.