A surprise departure by a chief executive tends to be taken badly, but shareholders in William Hill (WMH) seemed to be in jubilant mood, pushing the stock up by 11 per cent. James Henderson had only been in the top job for about two years but was a lifer at the high-street bookie, having notched up some 31 years in various roles there. Philip Bowcock, chief financial officer, is the interim replacement.
And rivals 888 (888) and Rank (RNK) seem to have used the shake-up to approach their rival with a bid approach that would see the three companies merge. No formal offer has been extended, but Hill's board is willing to hear its would-be partners out. The shares jumped by as much as 9 per cent in early trading, but settled up at around 6 per cent on the day. Any deal would help the company catch up in what has been a fast-paced period of gambling company consolidation.
The company issued a profit warning in March, driven by an increase in gamblers self-excluding - effectively preventing themselves from gambling for a given period - as well as reduced gross win margins. The latter affected peers, too, given Leicester City's title win and the least house-friendly Cheltenham Festival ever.
