Dramatic Cut: JPMorganChase Drops Entain Stake Below 3% After Recent 7% Boost

Multinational banking institution serving millions in over 100 global markets, JPMorganChase,  has made a surprising announcement. 

After boosting its stake in gambling giant Entain to 7% less than two weeks ago, the institution has sharply dropped its holding to under 3%. 

Sparking Controversy

The new regulatory filing has sparked renewed talks around the owner of Ladbrokes and Coral, although neither JP Morgan nor Entain has commented on the reason behind the move.

A Notification of Major Holdings filing published on Tuesday, May 19, 2206, showed the banking giant crossed below the 3% disclosure threshold on May 18. 

The development comes just 10 days after JP Morgan disclosed it had increased its stake in the FTSE 100 gambling company, including 5.6% in direct voting rights and another 1.4% through financial instruments.

The earlier increase followed the exit of New York hedge fund Eminence Capital from Entain. Eminence founder Ricky Sandler, who previously served as a Non-Executive Director at the company, sold his remaining 5.8% stake on May 7 after the fund announced plans to shut down.

Steady Share Price for Entain

It remains unclear whether JP Morgan acquired shares directly from Eminence in a private transaction. However, stock exchange filings show the bank steadily reduced its position through a series of share sales between May 12 and May 15.

Despite the rapid selling activity, Entain’s share price has remained relatively stable. Shares opened at around GBP 5.32 on May 8 and traded near the same level a week later, although intraday volatility saw the stock fall below GBP 5,02 before climbing above GBP 5,50 during the period.

Entain has faced ongoing speculation in recent months over a potential takeover or strategic restructuring, though company leadership has given no public indication that a sale is imminent.

The company generated more than GBP 5.2 billion in revenue during the 2025 financial year, but still reported a GBP 681 million loss, marking its third consecutive year in negative territory.

Even with JP Morgan sharply reducing its exposure, investors appeared largely unfazed, with Entain shares trading around GBP 5,37 on Wednesday afternoon.