Source: Sharecast
Responding to press speculation, Evoke - which also owns 888 - said the proposal is expected to comprise an all-share combination with a partial cash alternative.
It said there can be no certainty that an offer will be made or as to the terms on which any offer might be made.
"The board of evoke is evaluating the possible offer together with its financial advisers, Morgan Stanley and Rothschild & Co," Evoke said, adding that a further announcement will be made when appropriate.
By 18 May, Bally's Intralot will either announce a firm intention to make an offer or walk away. This deadline can be extended with Evoke’s consent.
At 0950 BST, the shares were up 5.3% at 40.91p.
Dan Coatsworth, head of markets at AJ Bell, said: "Evoke has been weighing up options since announcing a strategic review last December. There had been speculation the first move would be to sell its Italian operations, yet Bally’s is sniffing around the entire business."
He noted that at its peak in 2021, Evoke was worth £1.6bn. It ended 2025 with a mere £100m valuation, weighed down by slowing UK growth, troubles integrating William Hill following its 2022 acquisition, and buckling under the pressures of tighter regulation, tax, and high levels of borrowing, Coatsworth said.
"Evoke’s last reported net debt position was £1.8 billion on 30 June 2025. This sky-high debt means Bally’s has two options. It either buys the business and slowly pays down the debt, or it buys Evoke and immediately breaks it up to try and claw back some cash to accelerate debt repayments.
"Evoke’s shares only went up 7% to 42p despite Bally proposing to pay 50p per share. It suggests the market is sceptical this is a winning bid.
"Shareholders aren’t in a strong position to demand more money. Bally’s doesn’t need to be generous with an offer as the ball is in its court for negotiations. Evoke is in such a weak position, and there are question marks about its long-term future if it cannot find a buyer for some or all its assets.
"The UK-listed gambling sector has been slowly shrinking over the past decade and a takeover of Evoke would leave Entain, Gaming Realms, Playtech and Rank as the only players still on the London market, alongside Flutter which maintains a secondary listing.
"The gambling sector has been an easy target for successive UK governments seeking to generate extra tax revenue.
"UK high-street gambling has particularly suffered as tighter rules around betting machines have hurt margins, footfall has been in structural decline, cost pressures have intensified, and online operations are highly competitive. That’s terrible news for a brand like William Hill which was once the envy of the gambling sector for its size and reach."
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