Esports investment report, January 2022: ESL and FACEIT, Activision Blizzard, Team Vitality

04 February 2022

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Although it’s only the very beginning of 2022, there have already been some game-changing mergers and acquisitions that have occurred.

From ESL and FACEIT’s merger to Microsoft’s purchase of Activision Blizzard, the year has already provided some unpredictable moments within esports and gaming. 

JAN 2022 Investment
Image credit: Esports Insider

Esports Insider has compiled a list of the top January investment stories. To know more about a specific story, click the link in the corresponding title.


Spotlighted Story: 

ESL and FACEIT merge in $1.5b deal

ESL FACEIT group
The ESL FACEIT group has formed through the merger of the two companies. Image credit: ESL FACEIT group.

Two tournament organisers and former competitors, ESL Gaming and FACEIT, were both acquired this January by the Saudi-backed Savvy Gaming Group. As a result, the merger created a new entity called the ESL FACEIT Group.

According to the official website of the newly-founded ESL FACEIT Group, the two entities will continue to coexist in the esports ecosystem. Craig Levine and Niccolo Maisto will be appointed as co-CEO’s of the new company, and ESL Co-Founder Ralf Reichert will move into a non-operational role as Executive Chairman.


Microsoft buys Activision Blizzard

Microsoft is buying Activision Blizzard
Microsoft is buying Activision Blizzard. Image credit: Microsoft

In a deal that is valued at $68.7bn (~£50.5bn), Microsoft has agreed to acquire publisher Activision Blizzard.

This merger shifted the power in the gaming and esports world greatly. Microsoft now owns some of the most notable esports leagues in the world, such as the Call of Duty League and the Overwatch League.


Team Vitality announce €50m investment

Team Vitality CSGO roster 2022
Image credit: Team Vitality

French esports organisation Team Vitality has announced a talent-focused €50m (~£41.8m) investment from esports venture fund Rewired.gg.

The investment, which is expected to help develop ‘European super teams’, will be distributed throughout the next three years. Team Vitality is already hard at work with this investment, as seen by the organisation’s new League of Legends and CS:GO rosters.


Intema Solutions buys LOOT.BET parent company Livestream

Intema lootbet
/ESI Illustration) Image credit: Intema Solutions / Livestream Ltd

Information technology company Intema Solutions has agreed a definitive share purchase agreement to buy Livestream Gaming, the owners of LOOT.BET, in January.

Intema Solutions announced the plans to buy Livestream in 2021, with the company will paying around $15m in a mixed deal including cash and take-back notes. Livestream securities holders will also be eligible for another $3m if the company fulfils revenue goals.


Yesports raises $2.25m for esports in the metaverse

Yesports
Image credit: Yesports

Yesports plans on using its $2.25m investment to build an NFT-based esports marketplace and esports-focused metaverse. The new platform will provide users with exclusive content, merchandise and more by acquiring and holding NFT’s.

Yesports will also collaborate with esports teams to create NFT’s and other fan experiences, making the company one of the more prominent players in the esports metaverse industry.


RightBridge Ventures acquires majority stake in KNACKS

Rightbridge knacks
Image credit: KNACKS / RightBridge

The owners of Team Singularity and Lilmix Esports, RightBridge Ventures AB have acquired a majority stake in esports marketing and talent management agency KNACKS.

KNACKS includes more than 40 esports talents and is present in 16 markets. RightBridge now owns 62 percent of KNACKS, with the option to increase its ownership to up to 65 percent in the future


REKTGlobal possibly going public

ReKTGlobal x Pico
Image credit: ReKTGlobal

Esports infrastructure company ReKTGlobal is considering going public by merging with Bull Horn Holdings Corp., according to a report by Bloomberg.

Although REKTGlobal has not confirmed the deal as of right now, sources noted that the merger might be worth over $400m (~£291m). REKTGlobal is known for being the owner of esports organisation Rogue and Call of Duty franchise London Royal Ravens.


DRX acquires Vision Strikers

Image credit: DRX / Vision Strikers

South Korean esports company DRX Corp. has acquired eDreamWork Korea, the parent company of esports organisation Vision Strikers.

The organisation is most known for its successful VALORANT team, but also fields players in Tekken and Warcraft 3. The financial aspect of the deal were not disclosed.

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