Given the Entain share price movement this morning - could be good results? |
BetMGM results due at 12pm. (They'll still be in bed at the moment!) |
Tuesday 11 for results I take. |
HTTPS://investors.mgmresorts.com/investors/events-and-presentations/event-details/2025/BetMGM-FY-2024-Update-2025-WYoIseo-N6/default.aspx |
This is what happens when a US company does well.
dyor |
Every opportunity to rubbish ent it is taken, the sooner we leave the FTSE for he US the better.dyor |
Not any more Melmoo... |
I am surprised it’s not the worst one! |
7th worst performing share in the FTSE100 today. WHY? Do Trump's tariffs affect Entain? |
All eyes on Tuesday |
Lets hope our Foxy did too.
dyor |
Indiana Online Poker & Casino iGaming Bill Passes Committee Vote eyes September launchHTTPS://next.io/news/casino/indiana-advances-igaming-bill-eyes-september-launch/ |
srpactive is back! |
Las Vegas Sands up 8pc after results in US. |
One day we will read Entain in a similar article.
dyor |
'No idea...' ✔︎ |
@mac, yeah. No idea what happened. Hopefully there won't be a shake next week. |
Did not fly very high! |
HTTPS://next.io/news/regulation/new-york-senator-introduces-igaming-bill/ |
Don't know about a run at ENT..but Hornbuckle can take a flying jump |
 MGM Could Make Another Run at Entain’s BetMGM
It’s been four years since MGM Resorts International (NYSE: MGM) offered to acquire BetMGM partner Entain Plc (OTC:GMVHY). At least one analyst believes it’s possible the casino giant could revisit such a proposal this year.
BetMGM
The BetMGM logo. An analyst said MGM could consider another takeover offer for BetMGM partner Entain. (Image: NY Sports Day)
In a new, broader report on gaming equities, Macquarie analyst Chad Beynon mentioned MGM could consider another play for Entain. The two companies are 50/50 partners on BetMGM and the Las Vegas-based casino operator has made clear over the years that it would like to control all of the online gaming entity.
While the company attempted to acquire its joint venture partner in Entain in 2021, we believe likelihood could increase given management transition, current share price (Entain shares are -36% over the last year, market cap of ~$4.8bn), and potential synergies,” observes Beynon.
Given the erosion in Entain’s share price and its aforementioned market capitalization, it’s possible MGM could significantly reduce its 2021 offer of $11.06 billion and still get the Ladbrokes owner to come to the bargaining table. Four years ago, the British bookmaker said the offer isn’t adequate.
What MGM Really Wants From Entain
The aforementioned takeover bid floated by MGM was for the entirety of Entain, but analysts and investors widely believe the casino operator simply wants the 50% of BetMGM it currently doesn’t own.
Assuming that’s true, it’s possible MGM could make an offer to acquire that stake, which would be more cost-effective than a full takeover of Entain. In October 2023, former Entain CEO Jette Nygaard-Andersen said joint ventures don’t last forever, indicating there could be some willingness on the company’s part to consider divesting its BetMGM interest if the price is right.
In a deeper examination of MGM shares, which he described as a value play, Macquarie’s Beynon mentioned six potential 2025 catalysts for the stock — two of which directly pertain to the online business and one of which is “taking full control” the online unit.
“BetMGM has carved out a solid position as the number-three US Online Gaming operator, occupying the leading position among the ‘Tier 2’ companies,” noted the analyst. “BetMGM achieved profitability in 3Q and recently launched single app single wallet in Nevada. We expect BetMGM will deliver its first year of profitability in 2025.”
Entain Could Be Motivated Seller
Owing to management change and pressure from activist investors, Entain could be more motivated today than it was four years ago to talk with MGM about a deal. Nygaard-Andersen resigned in December 2023 and activist investors have previously pushed for cash-raising asset sales. Parting with the 50% interest in BetMGM would fit that bill.
Eminence Capital founder Ricky Sandler — a vocal critic of prior Entain leadership — has a seat on the board and Keith Meister’s Corvex Management has a stake in the gaming company. Meister is a director at MGM and his hedge fund has an equity position in that operator.
Those could be among the signs that the stars aligning for MGM to consider run at Entain this year, though neither company nor those investors have said talks are being held. |
Today we fly. |
Would be good to see how BETMGM compares:
“It all adds up to a financial jackpot for FanDuel and DraftKings, which probably both generated meaningfully positive EBITDA in 2024, according to analyst estimates gathered by Visible Alpha, after years of massive losses. Those figures should quickly grow, however. Analysts reckon DraftKings will bring in $2 billion of EBITDA in 2027, while Flutter is aiming for $2.4 billion from FanDuel that year, at a healthy 25% margin. The companies’ relatively modest forward valuation multiples of 10 times 2027 EBITDA, using Visible Alpha data, imply further upside for their stock if they hit those numbers” |
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