Restructuring: 888 Holdings sells Bingo division

Many gambling providers are currently following the market. The reason for this is that there are several changes to the majority of the legal requirements and also internal restructuring measures. As it was announced recently, 888 is selling its complete Bingo-business. Was the bingo division of the company not lucrative anymore or was the bid too lucrative?

In December 2020 we had already reported, that the 888 Holdings will have more influence on the US-Market. At that time, 888sport had been introduced in three US Federal States. Around two weeks ago, 888 Holdings plc, which is based in Great Britain, announced that it wanted to break up from the bingo business. With the sales proceeds it then wants to forge ahead with the developments in the US market.

Broadway Gaming Group want to take over Bingo division from 888

As it was announced recently in a press conference of 888 Holdings, a subsidiary company of the Broadway Gaming Group plans to take over the Bingo business of 888 completely. To be more precise, it involves the Saphalata Holdings Ltd., which is also based in Great Britain. Among the most famous brands of the company there are especially Butlers Bingo and Glossy Bingo. Further projects of the company are among others Rosy Bingo, Dotty Bingo as well as Bingo Diamond. With the takeover of the 888-Bingo-division, the Broadway Gaming Group will expand its bingo core business.

According to the press conference, the Broadway Gaming Group should be prepared to fork out 50 million US-Dollar for the bingo business of 888 Holdings. 888 holdings can use this money to forge ahead with the growth in the US market.

The current business manager of 888, Itai Pazner, explains in a statement, that selling the bingo section is currently the best strategy to be able to reach the set targets of the company. The deal is planned to take place in the second quarter of this year.

How does Bingo function?

Bingo has long lost the nimbus of “the game for old people”. However there are not many people who play bingo nowadays. Generally speaking bingo is played in three rounds. At first every player receives his bingo cards with the printed numbers. Then the numbers are drawn. As soon as a number is drawn and called out, the player can cross it out from his sheet, if it is listed there. If a player has a complete series of numbers crossed out, either diagonally, vertically or horizontal, then the player has won the first round.

In the second game round, two complete series of numbers must be marked and in the third round, all the numbers on the bingo card must be marked. Each of the three bingo rounds are finished, when the first player calls out “Bingo”. According to Statista, the turnover of the German gambling companies with Keno/Bingo in 2016 and 2017 was 191,6 and 192,4 million Euro.

Conclusion

The 888 Holdings wants to concentrate more on its core business in the future, therefore on sports betting and casino games. Therefore it was decided that the bingo business will be sold. There is a selling price of 50 million US Dollar. The sale is planned to take place in the course of the New Year.

Image source: https://pixabay.com/de/vectors/bingo-glücksspiel-spiele-148903/