Poll results: Playtech should invest Hills cash into mobile and social
More than one third of those polled believe £424m from WHO buyout should go towards furthering investment in new channels.
Playtech should spend the £424m from the sale of its stake in William Hill Online on extending its mobile and social offering, the majority of eGaming Review readers have argued in this week’s poll.
More than one third (34%) believe the amount received for the 29% stake in WHO would be best spent on mobile and social, where the London-listed software provider made moves last year via licensing deals with CTXM and Viaden.
However a significant number (29%) thought the US should be the primary focus once William Hill shareholders have approved the buyout, which would earn Playtech a return of more than 3.5 times its investment in the joint venture.
A number of European egaming companies have examined acquisitions across the Atlantic as a means to support their entry into a future regulated US egaming market, with PokerStars’ acquisition of the Atlantic Club casino and Hills’ deals for Brandywine, American Wagering and Cal Neva boosting those two operators’ respective presence in the market.
Just 21% believe Playtech would be best off attempting to negotiate a new joint venture agreement similar to that held with William Hill, after no indications were given in last week’s statement as to whether the buyout agreement would prevent Playtech from seeking out new relationships with Hills’ close competitors.
The remaining 16% of readers suggested buying a large stake in an operator would be the way forward for Playtech, perhaps believing there are no obvious candidates for such an investment at present.