Entain is reportedly mulling over a tough decision on the future of its Central and Eastern Europe (CEE) operations.

According to Reuters, the Ladbrokes Coral owner is considering selling its stake in Entain CEE to EMMA Capital, its partner in the joint venture established in 2022.

Such a move could have a huge impact on major Entain CEE brands such as SuperSport, which formed the basis for the JV when the FTSE100 group purchased EMMA’s 75% stake in the Croatian sportsbook four years ago.

Another major brand affected by a stake sale would be STS, the market leader in Poland. 

The Warsaw firm was acquired by Entain in 2023, with EMMA Capital funding 25% of the PLN 24.80 per share takeover, valuing STS around £750m at the time.

How has Entain fared in Eastern Europe?

Despite Entain’s ambitious plans for the CEE markets, not all shareholders were onboard with its decisions, particularly the STS acquisition.

US investor Ricky Sandler and his Eminence Capital fund, which held around 2.1% of Entain shares in 2022, criticised the move at the time.

Sandler was particularly critical of Entain’s decision to bookbuild £600m for the takeover.

In an open letter, he criticised Entain’s M&A strategy, accusing it of undervaluing the US-facing BetMGM joint venture with MGM Resorts and its international online sports betting and gaming platform, and noting an 8% slump in Entain’s share price after the takeover.

His criticism did not stop him joining Entain’s board as a non-executive director in January 2024. However, in 2026 things once again changed.

Four years down the line, Sandler is no longer an Entain shareholder or board member with Eminence having shut down in April 2026 after 27 years of activity. At that time, the company held a 6.5% stake in Entain, making it the firm’s third-biggest shareholder.

Stock market movements aside, the CEE region has become a thorn in Entain’s side. The company underperformed in the region in Q1 2026, with overall net gaming revenue down 6%, split between a 30% drop for retail revenue and 1% for online.

This was in stark contrast to the CEE division’s performance in 2025 as a whole with full year revenue up 5%, driven particularly by Croatia. 

It also stood out against the group’s Q1 performance in Australia and the UK, the latter of which looked particularly promising as the British market prepared for a new 40% tax rate on online casino gross gaming revenue in April.

With its regional underperformance, a new tax regime in the UK, and an extensive campaign against illegal gambling in mind, Entain may have decided that a tough call needs to be made in the CEE to keep its 2026 priorities on track.

SBC News has contacted Entain regarding Reuters’ reports.