(Reuters) -British bookmaker Entain on Tuesday announced the sudden departure of CEO Gavin Isaacs after just five months in the top role, sending shares down nearly 10%.
The company did not give a reason for Isaacs’ departure, saying merely it was by “mutual agreement”. It named non-executive chair Stella David as interim CEO.
The search for a CEO at the bookmaker has been a tumultuous affair. It began in December 2023 after Jette Nygaard-Andersen abruptly departed the firm, which owns Ladbrokes and Coral, following reports of shareholder and investor dissatisfaction with her leadership.
Isaacs, 60, an American national with over 25 years of experience in the sports betting and gaming industry, joined as CEO in September.
In December, Entain was hit with legal proceedings from Australia’s financial crime watchdog, alleging breaches of the country’s anti-money laundering and counter-terrorism financing laws by its online betting platforms.
Shares of the FTSE 100 firm fell 9.8% to 669 pence in early trading, bringing losses over the past 12 months to 34%. They had risen more than 15% since Isaacs’ appointment.
Stella David served as Entain’s interim CEO from December 2023 to September 2024, after Nygaard-Andersen left.
“The negative market reaction to yet more turmoil at Entain will be slightly offset by the comfort derived from Chair Stella David stepping back into the interim CEO role, a position she has previously successfully held,” said Jefferies analysts in a note.
Last month, Entain forecast its 2024 core profit would be at the top end of its 1.04 billion pounds to 1.09 billion pounds ($1.28-$1.35 billion) range, as favourable sports results in its last quarter in the UK and Ireland helped boost its bottom-line.
The betting firm said it was comfortable with market expectations for full year 2025. It will provide its full-year results on March 6.
($1 = 0.8097 pounds)
(Reporting by Yadarisa Shabong, Yamini Kalia and Pushkala Aripaka in Bengaluru; Editing by Mrigank Dhaniwala and Christina Fincher)
