Eminence Capital Increases Stake in Entain

On June 3, Eminence purchased 7.1 million shares at £7.10 per share, amounting to a total investment of £50.4 million. This brings Eminence’s total shareholding to 37,154,030 shares, representing 5.8% of Entain’s total voting rights, with Ricky Sandler having ultimate control over these voting rights.

Board Members Increase Their Stakes

In a series of transactions, several Entain board members and their spouses have also increased their shareholdings:

Barry Gibson, the Chairman of Entain, purchased 5,066 shares at an average price of £6.85 per share, totaling £34,785.18. This increased his total holdings to 137,500 shares. Gibson, who recently announced his retirement by the end of September 2024, could retire sooner if a permanent CEO is appointed before then.

Brenda Gibson, wife of Barry Gibson, also bought 5,066 shares at £6.87 each, for a total investment of £34,785.18, raising her stake to 62,500 shares.

Peter David, husband of interim CEO Stella David, acquired 145,376 shares at £6.88 each, totaling approximately £999,939.77, expanding his holdings to 275,376 shares. Stella David stepped in as interim CEO following Jette Nygaard-Andersen’s departure in December 2023 due to investor pressure.

Pierre Bouchut, a senior independent non-executive director, purchased 10,000 shares at £6.95 each, for a total of £69,456, bringing his total to 48,500 shares.

Market Reaction and Analyst Ratings

Following these transactions, Entain’s shares were trading up 0.98% at £7.21 as of the afternoon of June 5, bringing the company’s market capitalisation to £4.63 billion.

Financial analysts have responded positively, with Deutsche Bank Aktiengesellschaft, Jefferies Financial Group, and Berenberg Bank issuing “Buy” ratings for Entain. However, Barclays has downgraded the stock to an “equal weight” rating.