London-based organisation Guild Esports has completed its floatation on the London Stock Exchange, with a market capitalisation of £41.2 million.
The listing comes after the organisation managed to raise £20M towards the end of September. The listing was led by joint brokers Zeus Capital and Mirabaud Securities.
RELATED: Guild Esports looks to list on London Stock Exchange
Guild Esports becomes the first esports organisation to join the London Stock Exchange. As per a release, the organisation is to use the funds raised “to invest in the Guild brand, recruit new players and scale into various esports disciplines.”
Jamie Peel, Director of Corporate Finance at Zeus Capital, commented on the flotation: “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.”
RELATED: Guild Esports raises £20M ahead of London Stock Exchange listing
The organisation, co-owned by David Beckham, launched in June by entering Rocket League, though in August it expanded into FIFA by singing Niklas ‘NRaseck’ Raseck. At 10.41 AM BST on October 5th, stock was trading at 7.94 pence, a slight decline from its opening price of eight pence.
Carleton Curtis, CEO of Guild Esports, also spoke on the listing: “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 Insider says: Guild’s ability to receive such high valuation and to raise significant funds has to have come down to Beckham’s involvement with the organisation. It will be interesting to see how it proceeds from here, especially with much of the industry proving to be sceptical about its status.