Member Info for Splice

Thanks fist, if they are doing this to be good corporate citizens (important in the current environment), then this is good. If they are doing this because they want to lay off some people and not keep them in some low performing shops til January, not so good. The motivation is probably somewhere in between. Either way, the 7m doesn't make that much difference to hills as we know.

Jay do you have source on this, I would like to read more, thanks

Fist, apologies I had the date wrong, August 5!

Jet, there are a lot of moving parts here. The situation in retail will be revealed on August 8th. So much can change between now and then with covid as well (up and down).

Based on what little I know about Californian politics, my gut told me that legislation wouldn't happen this year. I don't think the market was expecting our either, apart from the speculators over at on the webis company board (racetrack in California listed in the UK, and theoretical beneficiary of a legislative change in California). Personally, I think the law in California pushes people to Vegas where hills are strong to an extent. If I had to choose between California opening up and getting the Caesars access, I would take Caesars.

I think the biggest change from a few months ago is the uncertainty about the regulatory changes in the UK right now. Keep in mind this won't happen until late 2021 by my reckoning. I suspect the changes may target online (they already did retail via fobt machines, which took years) and may target casino betting.

Also, hills (along with the other big players) are getting out in front of this with actions like this:
William Hill matches finance sector screening capacity with Accuity
https://sbcnews.co.uk/technology/2020/07/08/william-hill-matches-finance-sector-screening-capacity-with-accuity/
Basically hills are front running any upcoming changes and demonstrating that they are doing everything they can to do the right thing.

The wmh share price is now basically following the FTSE 250. Compare the charts and you will see.

Not the end of the world, main thing is the foothold in indiana.

FB, I think the two concerns you have in there about reopening retail and regulatory speculation are the main reasons wmh is trading at a around a 45% discount to the pre-covid price. These are legitimate known unknowns but the question is do they justify such a discount. My thoughts below.

1) reopening retail > this is a broader question about traditional retail and the UK high street in general. There is a market that have always gone to shops and will continue to do so. The market seems to be valuing wmh as a retail stock, look at a chart of wetherspoons Vs William hill, they look eerily similar. I don't think the damage is permanent and things will eventually recover to a new normal.
---
2) Increased regulatory speculation in UK digital. Hills are massively exposed to the UK vs the rest.

It looks like this has a late 2021 timeframe. Something is going to happen, hard to know what will eventually be thrashed out here.
---
3) Do they have enough cash to realise their US ambitions when you look at who they'll be competing against (Flutter, GVC etc).

I don't see this as an issue like the other two. Hills has been in the USA since 2012, the execution risk is reduced by the eldorado/ Caesars partnership and footholds. Setting up in Caesars locations will cost some money, but it is necessary spend. Are you talking marketing budget?

Nevada commission has accepted the merger.

"Eldorado now just needs to secure approval from agencies in two more states — the New Jersey Casino Control Commission, Indiana Gaming Commission and Indiana Horse Racing Commission."

It's getting closer.

https://www.rgj.com/story/news/money/business/2020/07/08/eldorado-caesars-7-3-b-merger-closer-nevada-regulators-approve-deal/5402086002/

Cheers for info, the question now is just what else gets sold off to ensure the deal happens. Shouldn't be serious, deal happens 'for sure' in my opinion

Maybe they can divest the Indiana property /ies if that is really such a big deal for them. One state surely can't nuke the whole thing.

Thanks AF and morbox!

Copy paste it?

I'm trying to understand timelines on the government review, looks like it may be part of this 2021 review.

Anyone know the difference between the lords committee and the parliamentary group on gambling harms and which actually has the say on this?

"The Lords committee did not go as far as to demand regulatory parity across all channels, as the All Party Parliamentary Group on Gambling Harms did in its report on regulatory change. However, it did call for an “equalisation of speed of play and spin”, which would mean no game could be played quicker online than in any other gambling venue.

The triennial review of gaming machine limits should be extended to online gambling, the committee said. A consultation for the next review should begin before the end of 2020, with conclusions drawn and action taken by mid-2021."

https://www.igamingbusiness.com/news/lords-outline-plan-root-and-branch-regulatory-overhaul

Very good performance to end green today on a reasonable big down day for FTSE.

I still can't believe how good the site traffic is: https://www.similarweb.com/website/williamhill.com/#overview

Note that the as spend online appears to be very low, almost according to that site. Still want a trading update on the betting shops, that's the big unknown for me right now.

I wasn't expecting that much of a recovery, it's almost back at February levels for June. Big question is how the retail shops have recovered, that is more difficult to work out.

I thought it was a few days into the new month, will be interesting to see that uptick. I think if you sign up for free trial you can see more up to date data

The next piece of news will be William hill setting up shop in the 50 or so Caesars properties in the USA. Otherwise the best news to follow is just covid news especially related to Nevada where hills are strong. The news I want to hear is draftkings and bet Fred each buying parts of William hill for a cash deal.

Bond market isn't panicking. They are usually the smart money.

2023 bond trades above issue price at 100.92.

2026 bond trades at 98.13 (almost at issue price).

WILLIAM HILL 16/23 Bond
100.92
https://markets.businessinsider.com/bonds/william_hill_plcls-notes_201623-bond-2023-xs1412547660

WILLIAM HILL 19/26 Bond
98.13
https://markets.businessinsider.com/bonds/william_hill_plcls-notes_201926-bond-2026-xs1989833816

Wmh has a lot of work to do in all those Caesars locations.

----

The Federal Trade Commission (FTC) has approved the merger between Eldorado Resorts and Caesars Entertainment, after requiring Eldorado to sell two properties to Twin River Worldwide Holdings in markets where the deal was deemed uncompetitive.

The required sales – of the Eldorado Shreveport Resort and Casino in Louisiana and the Mont Bleu Casino Resort & Spa in Lake Tahoe, Nevada for a purchase price of $155m – were agreed in April.

Eldorado agreed to acquire Caesars for $17.3bn – $7.2bn in cash, and approximately 77m Eldorado common shares – in June 2019, with shareholders of both operators approving the deal in November.

Gallup: US acceptance of gambling at record high
A record 71% of Americans view gambling as a “morally acceptable” activity, according to new polling figures from opinion polling giant Gallup.

In an annual poll of Americans’ views on a variety of activities, gambling was scored as the fifth-most “morally acceptable” behaviour, behind only birth control, divorce, drinking alcohol and premarital sex.

The figure was an increase from 68% during 2019’s poll and exceeded the high of 69% recorded in 2018.