Entain (LSE:ENT), the owner of Ladbrokes and Coral, is reportedly evaluating strategic alternatives for its Central and Eastern Europe joint venture, including the possibility of a sale, according to people familiar with the matter. One option under consideration would involve the company selling its stake to its existing partner, Czech investment group EMMA Capital, although discussions are understood to be at an early stage and no agreement has been reached.
The review comes as Entain seeks to manage the impact of significant increases in UK online gambling taxes. The company has been exploring ways to improve efficiency, strengthen its balance sheet and offset higher operating costs arising from changes to the UK regulatory environment. Sources indicated that any proceeds from a potential transaction could be used to reduce debt.
Entain CEE was established in 2022 following the acquisition of Croatian sportsbook operator SuperSport and subsequently expanded in 2023 through the purchase of Polish betting company STS for approximately £750 million. The venture remains majority owned by Entain and includes contractual options that could ultimately allow either partner to alter the ownership structure after the third anniversary of the original transaction.
The business has delivered solid financial performance, generating earnings before interest, tax, depreciation and amortisation of £183.7 million in 2025, compared with £170 million in the previous year. At group level, Entain reported better-than-expected annual profit of £1.16 billion, while adjusted net debt stood at £3.64 billion at the end of 2025.
Management has warned that recent UK gambling tax increases are expected to add around £200 million in annual costs. The company aims to offset approximately 25% of that impact during the current year and more than 50% by 2027 through cost-saving initiatives and operational efficiencies. Following the government’s tax announcement, Entain also recorded a non-cash impairment charge of £488 million against its UK operations, contributing to a loss after tax of £680.5 million for the year ended December.
The company’s outlook remains supported by the strength of its international operations and established market positions, although elevated debt levels, regulatory pressures and rising taxation continue to present challenges. Any transaction involving the Central and Eastern Europe business could form part of a broader effort to optimise the group’s portfolio and improve financial flexibility.
More About Entain plc
Entain plc is a global sports betting and gaming operator with a portfolio of well-known brands including Ladbrokes, Coral, bwin, Sportingbet and part ownership of BetMGM in the United States. The company operates across regulated markets worldwide, offering sports wagering, online gaming and retail betting services.
Through a combination of organic growth, acquisitions and strategic partnerships, Entain has built a diversified international presence. Its strategy focuses on expanding in regulated markets, investing in technology and enhancing shareholder value through disciplined capital allocation and operational efficiency.
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