EMMA Capital Acquires 20% Stake in Entain’s CEE Business for €425 Million
Entain has announced the sale of a 20% stake in its Central and Eastern European (CEE) operations to EMMA Capital, in a deal valued at approximately €425 million. This marks the initial phase of the company’s strategic plan to exit its joint venture in the region. Entain EMMA Capital
The transaction values Entain’s CEE business at around €2.1 billion, or roughly ten times EBITDA. The FTSE 100-listed gambling company will receive approximately €395 million upon completion, with an additional payment anticipated in early 2027, contingent upon the business’s financial performance during 2026. Completion of the deal is expected in the fourth quarter of 2026, pending regulatory approvals.
The sale aligns with Entain’s broader capital allocation strategy, reaffirming its intention to fully divest from Entain CEE in the future. The proceeds from this initial sale are earmarked for reducing the company’s debt. Any future proceeds from a full exit would further support debt reduction efforts, with the company aiming to lower its leverage ratios before returning surplus capital to shareholders. Entain’s CEE operations include markets in Croatia and Poland, both of which are regulated and have grown increasingly significant within its international portfolio.
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Following the transaction, Entain’s ownership stake in the CEE business will decrease from 67.5% to 47.5%. EMMA Capital’s direct holding will increase from 22.5% to 42.5%, while the Juroszek family will retain a 10% stake. EMMA Capital will gain effective control through an agreement with the Juroszek family, which grants EMMA voting rights attached to the 10% stake. In return, the family will hold a put option exercisable over three tranches during the three years after closing. This structure provides EMMA with operational control, while Entain considers options for selling its remaining stake.
The sale highlights the resilience of the CEE unit. Entain has revised its FY 2026 EBITDA margin guidance downward to a range of 21% to 22%, from the prior estimate of 23% to 24%. This adjustment indicates that Entain CEE has been outperforming the group average on margins, so its partial divestment will have a noticeable impact on the company’s overall financial profile.
Despite the lower margin outlook, Entain maintains a target of approximately £500 million in annual adjusted cash flow by 2028.
This transaction enables Entain to generate immediate capital for debt reduction while streamlining its portfolio to focus on core global markets. For EMMA Capital, it enhances its presence in Croatia and Poland, providing control over a profitable Central and Eastern European platform. The move also reflects a broader trend across Europe, where leading operators are reassessing non-core holdings, prioritizing regulated markets, and emphasizing sustainable growth strategies. Entain EMMA Capital
