Esports-focused venture capital company RightBridge Ventures (RBV) has closed a private placement of SEK 10.1m (~£812,000).
The placement, which represents about a 6% stake in the company, will be purchased by a group of family offices focusing on esports, tech and gaming, as well as private investors with a background in gaming.
RBV is the majority stake holder of Danish esports organisation Team Singularity, as well as other esports-focused companies such as the ESPL, esports team Lilmix Esports, and advisory company 1337 Esports.
The Board of Directors and Carlos Barrios, CEO of RBV, have also subscribed to about 10% of the placement. One of the objectives of the non-public offering has been to create the optimal liquidity and floating conditions for RBV’s future public trading of its shares.
Swedish capital market company Abelco Investment Group, RBV’s largest shareholder, has supported this objective by promising not to buy shares in the placement. Instead, Abelco will attempt to strengthen RBV’s shareholder distribution by offering free shares to investors who are not subject to lock-up agreements.
According to the release, the proceeds of the placement are set to be used to close several transactions during 2022 and 2023, as well as to secure RBV’s working capital for at least another year.
Johan Rooth, Chairman of RightBridge Ventures, commented: “We are very satisfied with the outcome of the subscription that has taken place in the midst of world economic turbulence as well as volatility in the capital markets, and still, RBV has succeeded in attracting family offices and private investors that invest in RBV’s strong and innovative value proposition.”
Earlier this year, RBV acquired a majority stake in esports agency KNACKS with plans to grow its operations in Asia, Latin America and Northern Europe.