Former Rank Birch boss in talks to run Ladbrokes owner Entain | Business News

Henry Birch, former head of Rank Group, is among the candidates vying for FTSE-100 owner Ladbrokes Entain.

Sky News has learned that Birch is one of a handful of candidates being considered by Entain to replace Jette Nygaard-Andersen as its permanent chief executive.

The recruitment process comes at a challenging time for Entain, which has been beset by boardroom turmoil and regulatory difficulties in several international markets.

Its shares halved last year, leaving it with a market capitalization of just under £5 billion.

This weekend, sources close to the company confirmed that Birch was a serious candidate for the position, although they said others were also in the running.

A consultation could still take weeks or even a few months, they added.

Birch stepped down as chief executive of Very Group, an online retailer owned by the Barclay family, in 2022.

He is an experienced gambling industry executive, having spent four years as chief executive of William Hill Online before joining London-listed multi-channel gaming operator Rank Group.

He has also held roles at Leisure & Gaming plc and BettingCorp.

Under Birch, Very Group broke the £2 billion annual sales mark for the first time.

Entain investors have been pressing its board of directors to recruit a new chief executive with substantial gambling experience as it faces a falling share price and numerous regulatory and strategic challenges.

Last week, Sky News revealed that former heads of bookmakers Coral and Skybet rejected proposals to become your new boss.

Industry sources said Dan Taylor, chief executive of Flutter Entertainment’s international operations, had also been approached, although it was unclear whether he was interested.

Entain has been under siege from activist investors for months.

In January, it announced that Ricky Sandler, who runs Entain shareholder Eminence Capital, would join the board as a non-executive director.

Last month it said that Barry Gibson, its chairman, would retire later this year and be replaced by interim chairman and former acting CEO Stella David.

Entain has hired bankers to sell PartyPoker and other non-core operations, which the Financial Times reported could include Netherlands-based BetCity, which Entain bought for £398 million last year.

In addition to Ladbrokes, Entain owns Coral and a stake in BetMGM, a major US betting player.

MGM Resorts, the US casino operator behind the Bellagio in Las Vegas, tried to buy Entain in 2021 but was rebuffed at a much higher valuation than the British company’s shares currently trade.

MGM has since ruled out a new bid, although analysts expect it to return at some point.

The company has faced a deluge of regulatory problems, triggering harsh criticism of its governance and business practices.

Last December, it was ordered to pay £615 million for failing to prevent bribery at its former Turkish subsidiary under a deferred prosecution agreement.

Entain shares closed at 778.8p on Friday, giving the company a market capitalization of £4.98 billion.

Entain declined to comment, while Mr Birch could not be reached for comment.