UPDATE 1-Ladbrokes owner Entain begins phased Exit from CEE business with $483 million stake sale

MGM Resorts International

MGM

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June 25 (Reuters) - Ladbrokes-owner Entain ENT.L said on Thursday it had agreed to sell a 20% stake in its Central and Eastern Europe business to partner EMMA Capital for €425 million ($482 million), marking the first step in a phased exit aimed at reducing debt.

Shares in the Isle of Man-based company were up 3.3% at 573 pence in afternoon trading.

Entain, which operates BetMGM in the U.S. along with MGM Resorts MGM.N, has been under pressure to reduce costs to offset the impact of higher online gambling taxes in Britain, though a shift toward online betting and gaming has supported growth.

The company also updated guidance after saying the CEE business would no longer be fully consolidated. It now expects the core profit margin for its online division to be in the range of 21% to 22%, down from 23% to 24%, and said it was comfortable with market expectations for group core profit.

($1 = 0.8821 euros)

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