Esl-faceit Merger To Create Gaming Giant
ESL, a leading independent esports company, has announced plans to merge with FACEIT, a digital destination for competitive gamers.
The two parties are teaming up to “shape the future of competitive gaming” under the ESL FACEIT Group banner. The combined enterprise will come under the ownership of Savvy Gaming Group, taking over from previous parent company Modern Times Group.
The sale of ESL Gaming to Savvy Gaming Group values ESL Gaming at $1.05bn (£781m). Savvy Gaming Group, which is fully owned by Saudi Arabia’s Public Investment Fund, is simultaneously acquiring FACEIT and will merge the two companies to form ESL FACEIT Group.
ESL and FACEIT will retain their leadership teams under a structure that will see ESL Chief Executive Craig Levine and FACEIT Chief Executive Niccolo Maisto serve as Co-Chief Executives of the new entity. Ralf Reichert, Co-Founder of ESL, will move into a non-operational role as Executive Chairman.
Levine (pictured) said, “Our merger with FACEIT, along with the backing of SGG, will give us more know-how, capabilities, and resources than ever before to deliver on this vision. Whether you are competing or watching, doing so socially or at a professional level, every stage of the pathway will be improved through this merger.”
The deal will combine ESL’s expertise in building, broadcasting and commercialising premium esports ecosystems with FACEIT’s tools for competitive games and a sprawling social network of competitive players.
ESL merged with DreamHack to form ESL Gaming in September 2020 – some 20 years after the former was founded as one of the world’s first esports organisations.
Earlier this month the ESL Pro League extended its ‘Louvre Agreement’ with 14 esports teams, guaranteeing the continuity of the competition until the end of 2025. ESL also operates numerous other esports tournaments worldwide, including the ESL Pro Tour, which covers the popular CS:GO, Starcraft II and Warcraft III games.
Maisto added, “By uniting these complementary capabilities, and with the backing of SGG, we are taking a long-term approach to develop a more robust platform to better support the future of the whole competitive gaming ecosystem and generate more value for all its stakeholders in a sustainable way.”
