888 Shares Tumble On VIP Accounts And CEO Departure
Following on from the recent announcements that 888 Holdings has suspended the VIP accounts of players in the Middle East because of fears they were being used for Money Laundering practices along then with the immediate departure of their CEO sent shares in the company tumbling by as much as 26%.
The surprise announcement that Itai Pazner who has been with the company 20 years and as CEO since 2019 was the major reason shareholders started the sell-off. One analyst said that if the news on the VIP accounts but the CEO remained the shares would not have fallen so dramatically.
However with the company now on the search for a new boss and non-executive chair, Lord Mendelsohn taking the reigns in what is now a troubled period for 888 investors look like they are staying away from the online gambling company which only recently acquired the UK and European assets of William Hill £1.95 deal from Caesars.
The company said that if it permanently suspends those VIP accounts it would have a 3% effect on group revenues which would not help the company that has suffered a 70% drop in its value last year and with this current problem may see more declines in the value of the company.
