SI Closes – 888 Sells US Business to Hard Rock

Latest News

Sportsbook brand SI Sportsbook will be closing operations over the next several months. News was delivered through a corporate press release by 888, the operating partner of SI Sportsbook on March 6th, 2024. 888 Holdings currently operates 888Casino in New Jersey, SI Sportsbook in Colorado, Virginia, and Michigan, and SI Casino in Michigan. According to the press release, 888 Holdings will have to pay $50 million to Authentic Brands group as their contract was established for 20 years. The first $25 million has to be paid in cash “from available resources” according to the press release, while the remaining $25 million will be paid between 2027 and 2029.

Since launching in the US market, UK-brand 888 Holdings has continually lost money and is down approximately 80% on the London Stock Exchange.

Per Widerström, CEO of 888 Holdings, released a statement in the press release.

“Since commencing my role as CEO I have been focused on ensuring the group is set up to deliver strong value creation in the coming years. In the US, the intensity of competition and requirement for scale means huge investment is required to reach profitability. Our partnership with Authentic has consistently driven strong demand for the SI brand across both consumer experiences and product offerings. A series of record-breaking months for SI Casino has underscored the strength of the SI brand. However, despite these successes, we have concluded that achieving sufficient scale in the US market to generate positive returns within an accelerated timeframe is unlikely. The strategic review of our US B2C operations will continue at pace, and I look forward to updating shareholders on our plans for the wider Group in late March.”

According to the company’s press release, 888 Holdings closing US operations will result in an operating cost savings of $6 to $7 million a year in 2024 and 2025.

888 Holdings made clear in its press release that the company would be willing to “consider all potential alternatives that can deliver value for the business. Such alternatives could include the sale (in whole or in part) of the Group’s US B2C business, the controlled exit of US B2C operations, or other possible strategic transactions.”

So, who will fill the spots SI Sportsbook and SI Casino are leaving in Michigan? Well, it didn’t take long for the Hard Rock Casino to hear about 888 Holdings’ desire to exit the US market. The Hard Rock Casino brand and online skin Hard Rock Bet could be headed to Michigan sooner than expected!

As of March 28th, 888 Holdings has decided to sell its US B2C operations to Hard Rock Digital. The one area of the US market that 888 Holdings will continue to operate is its WSOP.com site, which is partnered with Caesars. The official press release by 888 Holdings detailed the following information:

“888… today announces the conclusion of its strategic review of US B2C operations. As a result of the review, the Group has agreed the sale of selected assets to Hard Rock Digital (‘HRD’), completion of which is conditional upon, amongst other items, reveling regulatory approvals. It is expected that the disposal will be completed in a number of phases, with final completion expected in Q4 2024.”

More about Hard Rock Digital

Hard Rock Digital takes the same Hard Rock ethos found in its famous cafes, casinos, and hotels and brings it to the rapidly growing sports wagering market in the US. The company is headquartered in Hollywood, Florida, with offices in New Jersey and Texas.

Mac Daniel is a writer for PlayOnlineCasino and PlayOnlineSportsBetting. He has experience writing about a wide variety of topics, including healthcare, tourism, non-profit organizations, and most recently casino and sportsbetting news. To check out more of his work, visit: playonlinemichigan.com