Entain is assessing strategic options for its Central and Eastern European operations, including a potential sale of its stake in the Entain CEE joint venture, as the gambling group faces mounting financial pressure from higher UK betting taxes.
According to reports, one scenario under consideration would see Entain sell its holding in the venture to its current partner, EMMA Capital. Discussions are understood to be at an early stage, and there is no certainty that a transaction will take place. Proceeds from any deal could be used to reduce the company’s debt burden.
The review comes after the UK introduced significant increases to online gambling taxes in April. Rates on casino games and slots rose from 21% to 40%, while sports betting taxes increased from 15% to 25%. Entain has warned that the changes could add around £200m in annual costs, prompting the company to explore cost-saving measures and alternative financial strategies.
Entain CEE was established in 2022 through a partnership between Entain and EMMA Capital, initially centred on the acquisition of Croatian operator SuperSport. The business expanded a year later with the approximately £750m purchase of Polish betting giant STS, strengthening the group’s position across the region.
Despite the strategic review, the venture remains a profitable part of Entain’s portfolio. Entain CEE generated EBITDA of £183.7m in 2025, up from £170m the previous year. At group level, Entain reported annual profit of £1.16bn, though adjusted net debt stood at £3.64bn at the end of 2025.
The company has already outlined plans to offset part of the tax impact through efficiency measures, aiming to mitigate around 25% of the additional costs this year and more than half by 2027. However, it also recorded a £488m impairment charge linked to its UK business, contributing to a full-year net loss of £680.5m.
Neither Entain nor EMMA Capital has commented on the reported discussions.