A global esports business co-owned by Manchester United and England legend David Beckham has completed a public market flotation - becoming the first esports franchise to join the London Stock Exchange.
Guild Esports finished the exercise with a market capitalisation on admission of £41.2m after a £20m fundraise.
Launched in June 2020, the business has established a management team of esports veterans with experience as professional players, coaches and the media.
Guild executive chairman, Carleton Curtis, is described as an industry heavyweight and architect of the Overwatch League and Call of Duty Leagues, with previous roles at both Activision and Red Bull.
The latest transaction was led by joint brokers Zeus Capital and Mirabaud Securities.
Carleton Curtis, CEO at Guild Esports, said: “Zeus Capital has provided Guild with excellent service as we have geared up to our IPO. Acting as joint bookrunner and corporate broker, Zeus Capital has supported our successful and significantly oversubscribed share placed, and Guild has appreciated the work of the team.
“The esports market is poised for further significant growth and Guild is in a strong position to provide shareholders with a unique opportunity to participate in its future.”
Esports benefits from a fast-growing fan base worldwide - with some tournaments attracting a bigger audience than the Wimbledon tennis championships, Tour de France and the US Open.
The firm becomes the first esports franchise to join the London Stock Exchange, and will use the funds raised by the listing to invest in the Guild brand, recruit new players and scale into various esports disciplines over the course of the 2020/21 season.
Players are initially expected to compete in titles including Rocket League, FIFA, CS:Go and Fortnite, and will generate revenues through tournament winnings, digital marketing opportunities, sponsorship, membership, merchandise and promotional tours and events.
A team at Zeus Capital, comprising John Goold, Benjamin Robertson, Jamie Peel and Richard Darlington, is acting as joint broker and joint bookrunner on the transaction.
Jamie Peel, director of corporate finance at Zeus Capital, said: “The gaming industry has exploded in popularity, with esports quickly becoming a mainstream form of entertainment.
"This is only expected to accelerate in the coming years, and with a hugely experienced and high-quality management team, the firm has already generated significant investor appetite. We are pleased to be able to support the business as it takes its first steps onto the public markets.”
Commenting on the news, Hiran Adhia, an esports expert, said: "The move is one of the biggest signals yet that e-sports is an industry to start taking seriously, having perceptually trailed behind traditional sports franchises for the last 20 years.
"Out of the limelight, e-sports has built a mammoth international fanbase and this will be the first time that fans can now invest back into their favourite team in the UK."
