Ladbrokes owner Entain has announced the appointment of Gavin Isaacs as its new chief executive, starting 2 September.

The Australian gambling industry veteran replaces interim chief Stella David, who will succeed Barry Gibson as chair of the FTSE 100 firm following his retirement in September.

Barry Gibson, chair of Entain, said: “On behalf of the Board, I am delighted to welcome Gavin to Entain. We are confident that his proven leadership and operational experience mean that Gavin is the right person to take Entain into its next chapter.”

Former boss Jette Nygaard-Andersen left Entain late last year after nearly three years in the role, following the resolution of a long-running bribery scandal at the company’s former Turkish business.

Isaac, who holds both US and Australian passports, has over 25 years of experience in the global gambling industry, having worked at a number of betting, gaming and tech companies.

He is a director of US-listed Galaxy Gaming, which he will now step down from, and was previously a non-executive director of Draftkings.

The market reacted positively to the appointment, with the London-listed company’s stock rising over 3.6 per cent at the opening bell on Monday.

Peel Hunt analyst Ivor Jones said Isaacs is credible as he “brings a wealth of experience from senior roles within the gambling industry”.

“However, he lacks a history of leadership roles in UK-listed companies, which could be perceived positively as he is not associated with the recent challenges of the UK sector,” Jones added.

Isaacs said: “I am very excited to be joining Entain. The company’s iconic brands, exceptional talent and ongoing execution of its refocused strategy will enable the business to return to a leadership position across all aspects.”

“I am confident that Entain has an extremely bright future, and I look forward to leading the Group in capitalising on the opportunities ahead and creating value for all its stakeholders,” he added.