TPG Credit in talks to fund £800m Evoke deal
Table of contents
- Private equity firm TPG Credit is in talks to provide up to £800m to help refinance Evoke’s debt as part of a potential takeover by Bally’s Intralot.
- The Athens-listed operator’s prospective 50p-per-share bid values Evoke’s equity at £225m, with an 8 June deadline in place for a firm offer.
- Evoke carries approximately £1.9bn in net debt, with the combined group’s borrowings estimated at around £3.4bn.
Private equity firm TPG Credit is reportedly in talks to commit up to £800m to help refinance the debt of William Hill owner Evoke, as Athens-listed Bally’s Intralot works to finalise a takeover of the London-listed gambling group.
The development, reported by Sky News, could significantly improve the prospects of a deal being completed ahead of the 8 June regulatory deadline.
Financing the deal
TPG Credit, which includes the Angelo Gordon credit business acquired by TPG in 2023, is considering a commitment of as much as £800m to help restructure Evoke’s borrowings. Sources close to the talks cautioned the final figure could come in lower.
One major concern around any deal has been the combined debt a merged entity would carry. Evoke holds approximately £1.9bn in net debt; Bally’s Intralot adds a further £1.5bn, bringing the estimated total to £3.4bn. Analyst commentary cited by Sky News suggests TPG Credit’s involvement would strongly increase the chances of the bid succeeding.
Evoke issued a €600m bond last year and holds additional debt including a revolving credit facility with a syndicate of lenders. Its total borrowings stood at around £1.86bn at the end of last year, according to the company’s annual report published 30 April.
TPG declined to comment, and Evoke has not issued a public statement on the financing discussions.
Facing the deadline
Bally’s Intralot confirmed takeover discussions with Evoke in April. An initial deadline of 18 May under UK takeover rules was extended at Bally’s Intralot’s request, with talks now running until 8 June 2026. A further extension has not been ruled out.
The proposed deal values Evoke’s equity at just £225m, at 50p per share. Evoke’s shares closed at 37.9p on Friday, suggesting the market remains sceptical the bid will proceed. When Evoke first pursued William Hill in September 2021, its shares traded near £4.
Evoke confirmed the status of talks in a statement:
“Constructive discussions are continuing between the parties in relation to the proposal, which is expected to comprise an all share combination with a partial cash alternative.”
For background on the extended deadline, see the earlier iGR report.
Evoke also examined a standalone sale of its highly profitable Italian operations but has expressed a strong preference for a full-company transaction. Any acquisition would mark Bally’s Intralot’s first entry into retail betting shops.
Tax adds to strain
Evoke’s financial position has been further pressured by the UK government’s gambling tax reforms. The company projected £125m to £135m in additional annual duty costs, with around £80m expected to hit the current financial year, and subsequently abandoned its medium-term guidance to investors.
Per Widerström, Evoke’s chief executive, said:
“Ill-thought-through, counter-productive and highly damaging.”
Like rivals Flutter Entertainment, Entain and Betfred, Evoke has announced plans to close around 200 William Hill betting shops as a direct consequence of the changes.
Robeson Reeves, chief executive of Bally’s Intralot, has argued the tax environment is accelerating consolidation across the UK market. Reeves said:
“Beyond Evoke, we continue to monitor the broader M&A landscape. Our criteria have not changed: regulated markets, strong brand positions, accretive economics and logical operational fit.”
With TPG Credit’s potential involvement addressing the central financing concern, attention now turns to whether Bally’s Intralot can table a firm offer before 8 June or negotiate a further extension with the Takeover Panel.
The outcome will reshape the future of William Hill, 888 and Mr Green as standalone UK brands.
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