Guild Esports has announced plans to launch an IPO on the London Stock Exchange (LSE) this Autumn.

The London-based esports organisation, which launched on 25 June 2020 and is part-owned by former footballer David Beckham, has enlisted Mirabaud Securities and Zeus Capital to serve as joint brokers and bookrunners for the IPO. 

If all goes according to plan, the listing of ordinary shares to the Standard Listing segment of the LSE, will raise £20m GBP to enable Guild Esports to expand into new titles, recruit 20 more players, and grow its brand. 

Approximately 40% of Guild’s shares will be made available in the listing – which equates to a company valuation of £50m – half of its original £100m target. The company has blamed market volatility due to the COVID-19 crisis, which has severely affected live esports events, for the reduced valuation.

Guild currently competes in EA SPORTS’ FIFA and Psyonix’s Rocket League, and is planning to enter Valve’s Counter-Strike: Global Offensive, and Epice Games’ Fortnite. 

Discussing the planned IPO, Executive Chairman of Guild Esports, Carleton Curtis, said:

“The growing global popularity of esports has enabled several existing franchises to monetise their activities through sponsorship, retail, merchandising, apparel & product licensing, new media & mobile, broadcasting and tournaments. 

WGuild will be the first esports franchise to join the London stock market, which will provide us with the caché, credibility and capital to fulfil our ambition to become one of the world’s top ten esports franchises within three years.”

In August, Guild Esports announced it had appointed MediaCom Sports and Entertainment to plan and develop its commercial partnerships strategy. 

AYO.NEWS says:

Guild Esports isn’t hanging around! Going from launch to a public listing in just a few months, while at the same time trying to establish a foothold in several titles, is no mean feat. Though live esports have taken a knock due to COVID-19, we wouldn’t be surprised if the IPO smashes the revised target. 

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

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