Segev, the operator’s former chief operating officer who became CEO in July 2020 to replace Kenny Alexander, has a notice period of six months, and will remain in his current role for that period or until a successor is appointed.
Entain’s board noted that having considered succession issues on a regular basis, it has a process “well under way” to find his successor.
“We are sorry that Shay has decided to leave us but recognise that we cannot match the rewards that he has been promised,” Entain chair Barry Gibson said.
“Entain has a wealth of talent across its leadership team and the business has never been stronger,’ Gibson continued. “The company has delivered 20 quarters of double-digit online growth, and our future prospects have been substantially enhanced by our new strategy, which we set out in November.”
He added that Segev’s departure would change nothing with respect to the board’s view of MGM Resorts International’s proposal to acquire the operator. That proposal, offering 0.6 MGM Resorts shares for every one in Entain, is still unanimously viewed as significantly undervaluing the business and its prospects, Gibson said.
Segev said he was sad to leave Entain after five years, but said the co-CEO role with Dazn offered him “a very different type of opportunity”.
“Entain is in great shape after the successful launch of our new strategy,” he said. “Entain has a great team of leaders and an exciting future ahead through its growth and sustainability strategy, and I will do all I can to continue to support the company.”
He will now join Dazn, the sports streaming business originally part of Perform Group that was spun off as a separate entity in September 2018.
Segev will serve as co-CEO of the business alongside James Rushton, previously the business’ chief revenue officer, who has led the business in an interim capacity since June last year.
“This is an important moment for Dazn Group as we deepen our leadership team and ready the organisation for its next phase of growth,” said Dazn executive chairman John Skipper. “James has displayed tremendous leadership, navigating incredible challenges and achieving terrific results which have made us a stronger and more focused company.
“In Shay, we’re adding depth and fresh expertise to the team,” Skipper continued. “He is recognised as one of the leading figures in online gaming and brings vast technology and operations experience to the role as well as an impressive track record in digital transformation.”
Segev said it was “incredible” to be given an opportunity to lead a business with global reach and ambition, underpinned by strong technology and resources.
“This role allows me to combine my passion for sport and transformative technology to disrupt and improve the consumer experience.”
Shares in Entain were trading down 1.46% at 1,453.50 pence per share in London on Monday (11 January).