888 Holdings has agreed to sell its Latvian operations to Paf Consulting Abp (Paf) for a fee of €28.3m ($30.5m) on a cash-free, debt-free basis.
An initial sum of €24m will be paid in cash upon completion of the transaction, and the balance will be delivered in 2024 upon completion of the 2023 financial year report.
Paf will now own 90% of the company. The Latvian company uses the William Hill and Mr Green brands under local licensing. It will provide brand licensing so that these brands can be used in Latvia for a limited period of time.
Lord Mendelsohn, Executive Chair of 888, said: "We continually review our asset base to ensure that we are only holding assets that both contribute to our long-term strategy and will maximise value for our shareholders.
"As a business, our relatively limited exposure in the Baltic region means that the region is not one of our core or growth markets where we prioritise our investments.”
Meanwhile, Janis Tregers, Co-Founder and Head of the Latvia Board, added: “Under the new ownership with Paf, I am confident that the business will continue to go from strength to strength, delivering great products and experiences for our customers."
Christer Fahlstedt, Paf CEO, said: "We are thrilled to get the opportunity to continue to build on a great Latvian success story. With a long-term perspective, we are convinced that the Latvian market is moving toward increased player protection and thereby a great strategic fit for Paf."
Gambling Insider recently spoke to Paf about the state of Europe's gambling regulations.