Esports infrastructure company ReKTGlobal is considering going public by merging with Bull Horn Holdings Corp., according to a report by Bloomberg.
Bull Horn Holdings Corp., a special purpose acquisition company (SPAC) led by former NBA basketball star Baron Davis, would take over the company in a merger that would reportedly value the new entity at over $400m (~£291m), the report says.
RELATED: ReKTGlobal raises $35 million from Summit Partners
ReKTGlobal provided no comment on the news when Esports Insider reached out.
Citing people with knowledge of the matter, the Bloomberg report says the esports firm is ‘in talks’ with Bull Horn Holdings.
It reports that Bull Horn Holdings is discussing raising investment through a Private Investment in Public Equity (PIPE) to support the transaction. The report did highlight that nothing has yet been agreed, and the talks could fall through.
ReKTGlobal is an esports-focused entertainment organisation launched in 2017. It is the parent company of esports organisation Rogue and Call of Duty franchise London Royal Ravens. The firm acquired TalentX Entertainment in 2021 to form digital talent management company ReKTX.
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Bull Horn Holdings Corp. is a sports & entertainment-focused SPAC, according to its website. SPAC’s are a type of publicly-listed blank check company, formed with the intent to merge or acquire another business. The firm intends to combine with a leading sports, entertainment and brand company, according to a press release.
The NASDAQ-listed company raised $75m (~£55m) in an IPO in October 2020. It counts Baron Davis on its Board of Directors, alongside Stephen Master, Michael Gandler, Jeff Wattenberg, and Doug Schaer.
Esports Insider Says: SPAC’s have ballooned in popularity as an investment vehicle in the US. Companies of this nature are not commonin esports, although FaZe Clan notably used one to go public in October 2021. If these talks are successful, it’ll mark an interesting new chapter and a well-earnt $400m valuation for an ambitious ReKTGlobal.