Published on: June 22, 2026, 12:58h.
Updated on: June 22, 2026, 12:58h.
- Entain is exploring options to mitigate the impact of U.K. gaming tax increases.
- The Central and Eastern European division is showing positive EBITDA.
- Rumors suggest Entain may sell its stake in this business to its Czech joint venture partner.
Entain Plc (OTC: GMVHY) is reportedly considering various options, including a potential sale of its Central and Eastern European sportsbook segment, in a bid to secure funds to offset the rising U.K. gambling tax expenses.
According to three confidential sources cited by Reuters, the owner of Coral is investigating possibilities for raising funds for a unit primarily featuring betting assets in Croatia and Poland. Like its competitors, Entain faces an increasingly challenging tax landscape in the U.K.
In April, the British government nearly doubled the online gambling tax rates on slot machines and table games from 21% to 40%, while increasing the sports betting tax from 15% to 25%.
This rise in taxation has adversely affected U.K.-based gaming operators, with some smaller firms experiencing substantial declines. Entain itself has seen its market value plummet by nearly a third since the announcement of these new tax regulations last November.
Potential Strategies for Entain’s Central European Operation
Entain has not officially acknowledged efforts to sell its Central and Eastern European division, which mainly includes the Croatian sportsbook SuperSport and the Polish sportsbook STS, acquired in 2022 and 2023, respectively.
The Reuters article indicates that one potential option for Entain is to divest its stake in this business to the Czech investment firm EMMA Capital, its joint venture partner. While Entain holds the majority stake, both parties have established call-and-put options concerning the asset manager’s interest, meaning Entain could potentially take full ownership in the future.
The report does not identify any other potential buyers, yet the owner of Ladbrokes could attract numerous interested parties due to the profitability of its Central and Eastern European division. This segment reported nearly $243 million in EBITDA for 2025.
Previous speculation about possible asset sales from Entain has led to assumptions that prominent private equity firms such as Apollo Global Management (NYSE: APO) and CVC Capital might express interest. Whether these rumors apply to Entain’s Eastern European segment remains to be seen.
Consolidation in the U.K. Gaming Sector
Higher taxes in the U.K. are straining smaller, high-debt operators and may be driving consolidation within the industry. For example, Bally’s-owned Bally’s Intralot (ATHEX: BYLOT) recently acquired Evoke, the owner of William Hill, for $328 million.
Specifically regarding Entain, which has a 50% stake in BetMGM, the company is not necessarily required to sell itself outright to manage the higher taxes in its domestic market. However, it has recognized that the increased tax burdens could elevate costs by around $230 million, indicating that the company might be inclined to divest assets it considers non-essential.