Boss of Coral and Ladbrokes owner Entain quits weeks after legal settlement

Jette Nygaard-Andersen has left with immediate effect and will be replaced by non-executive director Stella David on an interim basis.

The boss of Coral and Ladbrokes owner Entain has stepped down just weeks after the group agreed a £615 million settlement to resolve a probe into alleged bribery at a former Turkish subsidiary (PA) (PA Wire)

The boss of Coral and Ladbrokes owner Entain has stepped down just weeks after the group agreed a £615 million settlement to resolve a probe into alleged bribery at a former Turkish subsidiary.

The gambling giant said Jette Nygaard-Andersen requested to leave the role with immediate effect and will be replaced by non-executive director Stella David on an interim basis until a permanent successor is appointed.

The group said Ms Nygaard-Andersen’s decision comes after the gambling giant reached an agreement with HM Revenue & Customs (HMRC) to settle an investigation into the group over activities at the Turkish-facing business that it sold in 2017, but it did not specify a reason for her departure.

Shares in Entain lifted 5% in morning trading on Wednesday.

Entain chairman Barry Gibson welcomed the resolution of the probe and the agreement, praising Ms Nygaard-Andersen for her “exceptional leadership during what has been a hugely challenging period”.

He said: “It is no exaggeration to say that the HMRC investigation posed a number of threats to our group.”

He added: “Had the matter not been resolved by way of a deferred prosecution agreement, the consequences to the company and all of its stakeholders could have been disproportionate.”

But Ms Nygaard-Andersen has reportedly come under increasing pressure from activist shareholders, and amid internal discontent over her leadership, as the group has seen its share price languish, according to a recent Financial Times report.

Entain’s share price has slumped by nearly 40% in the past six months alone.

Ms Nygaard-Andersen said: “The past three years have been rewarding and challenging in equal measure.

“The resolution of the HMRC investigation into the legacy business, which was sold by a former management team in 2017, offers a clean inflection point for me and for Entain.

The group is now safe, stable and sustainable and I believe that this is the right time to move on to other business and career opportunities

Jette Nygaard-Andersen

“The group is now safe, stable and sustainable and I believe that this is the right time to move on to other business and career opportunities.”

Previously a non-executive director at the firm, Ms Nygaard-Andersen was appointed to the top job in January 2021 following the departure of her predecessor, Shay Segev, after just six months in the role.

Entain’s recent settlement came after authorities started investigating the suppliers in 2019, and a year later turned their gaze on the GVC Group, which subsequently rebranded to Entain.

The company was alleged to not have adequate procedures in place to prevent bribery. It said the investigation had looked at former employees and suppliers.

James Wheatcroft, an analyst at Jeffries, said investor attentions will now turn to who will be hired to replace Ms Nygaard-Andersen on a permanent basis.

He said: “We would expect a rigorous process to search for a new chief executive given the last two chief executive appointments were internal candidates, especially as the current chief financial officer is expected to be a prospective candidate.”