Online gaming operator Esports Entertainment Group (EEG) is set to complete its acquisition of Esports Gaming League (EGL) in January 2021 after finalising the binding agreement for the tournament organiser.
First announced in August, EEG expects EGL to generate triple-digit growth after generating approximately $1.3m in revenue last year. Financial details of the acquisition have yet to be confirmed.
EEG said the deal – the latest in a string of acquisitions – will enhance its presence in North America and internationally, identifying EGL’s complementary platform, large user base, management team and marquee advertising partner relationships as key drivers behind the transaction.
EEG said the deal will be finalised by 8 January, and comes soon after it was named the official esports tournament provider of the National Hockey League’s LA Kings and Major League Soccer (MLS) team LA Galaxy.
“We are excited to finalise this acquisition and continue to expand EGL’s presence here in North America,” said Grant Johnson, chief executive of EEG.
“In addition to our announcements with the LA Kings, LA Galaxy and Philadelphia Union we are in discussions with many additional sporting organisations that are interested in exploring the ways that they can engage their fanbases through esports.”
EEG, which has offices in Malta, the UK and New Jersey, reported recently that EGL has signed an agreement with Premier League football club Arsenal to manage its Pro Evolution Soccer roster for the eFootball League.
EGL is a B2B-centric provider of live and online events and tournaments where gamers can compete and enjoy a wide range of content relating to esports and video games on a proprietary technology platform with over 350,000 registered gamers. Services include full turnkey esports events, live broadcast production, game launches, and online branded tournaments.
“We are extremely excited to be joining the Esports Entertainment Group family, it will give us an opportunity to push our technology and resources to further grow our client roster,” said Glen Elliott, chief executive of EGL. “The vision Grant has around building an esports ecosystem is visionary for the industry and EGL is a perfect fit.”
In November 2020, EEG said it expects to generate $13m in revenue in fiscal 2021 and $42m in revenue along with $2m in EBITDA in fiscal 2022 after completing its acquisitions of Helix Esports and ggCircuit.
