UK-based Guild Esports which has shareholders of the likes of David Beckham has raised US$25.6 million from its initial public offering (IPO) ahead of its debut on the London Stock Exchange (LSE) on 2nd October.
The competitive gaming organisation invested by former England football captain, said on 29th September its oversubscribed offering of 250 million shares was priced at UK£0.08 (US$0.10) per ordinary share.
Around 40 per cent of the company’s shares were made available, with the new funding being used to recruit new players, invest in the Guild brand and expand the company’s activities.
Beckham will hold a 4.78 per cent stake in Guild, which will be the first esports franchise to join the LSE, following the IPO. This makes him the fourth largest shareholder, according to a prospectus approved by the UK Listing Authority. The soccer icon will also look to use his star power to further aid the company’s development.
Other investors in the company include Toro Consulting, Blue Star Capital, and Schroder Investment Management.
Commenting on the IPO, Blue Star chief executive Tony Fabrizi told the Proactive Investors website: “The successful IPO of Guild is an excellent illustration of the potential upside from Blue Star’s esports portfolio.
“We believe Guild has an exciting future as a listed company and expect to see our portfolio deliver strong performance as the sector grows in strength.”
Guild initially plans to compete in Fortnite, CS:Go, Rocket League and FIFA, while it is looking to generate revenue through tournament winnings, digital marketing opportunities, sponsorship, membership, merchandise and promotional tours and events.