William Hill in separate deal talks with Apollo and Caesars
Shares in William Hill sky rocket after it confirms M&A discussions with two separate bidders.
William Hill has confirmed that it has received two cash proposals separately from private equity firm Apollo Global Management and Caesars Entertainment regarding a potential acquisition. The British betting firm was responding to an earlier report from Bloomberg News, which named Apollo as a potential acquirer. The M&A speculation has sent shares in William Hill higher in today’s session by more than 33 percent.
William Hill said ‘Following an initial written proposal from Apollo on 27 August 2020, William Hill received a further proposal from Apollo and proposals from Caesars.’ William Hill said discussions with both parties are ongoing. The two companies, Apollo and Caesars now have until 23rd October to formally announce their intentions to make an offer for William Hill.
William Hill: technical analysis
Taking a look at the chart of William Hill, the stock has staged a dramatic rally in today’s trade, pushing above the 161.8% Fibonacci retracement line. At the start of September the stock gapped higher to break above the 100% fib retracement level. Since then we’ve seen a series of doji indecision candles before today’s massive spike higher. Interestingly, in a bullish move, the stock has broken above the long-term descending trendline of resistance which has been in place since the peak back in 2013. The stock is now back up to levels not seen since August 2018 on the IG platform with the next key resistance level on a monthly chart at 345p.
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