Guild Esports close to US acquisition

Guild Esports, the professional esports organisation backed by David Beckham, has signed a letter of intent (LOI) with US investment company DCB Sports to acquire the organisation.

The news saw UK-based Guild Esports’ shares surge more than 54% in early trading on Monday 5^th August.

The financial details of the transaction were not disclosed by Guild Esports, which recently claimed it was ‘actively exploring’ a range of options to allow it to meet its short-term liabilities.

If the deal is completed, which Guild Esports has said is still not guaranteed, DCB Sports would acquire 100% of the firm’s assets to assume and run the entire Guild brand.

Guild Esports’ shares initially debuted on the stock exchange in late 2020 with a market capitalisation of £41.2m but has since dropped in value by 99%.

Jasmine Skee, CEO of Guild Esports, commented, “The Board is looking to secure the long-term future of Guild Esports, both the PLC and the iconic Guild brand. 

Gary LaDrido, Managing Partner of DCB Sports, added, “Esports is the perfect combination of sports, gaming and entertainment. We’ve long followed esports and with Guild we have found the perfect opportunity for us to enter the sector for the first time. 

“We look forward to working with Guild’s impressive list of clients as well as building new relationships around the world. We are excited about partnering with Jasmine and management to deliver on its strategy of growing Guild into a leading international media brand.”

Former England men’s football captain and Manchester United star David Beckham is a founding shareholder and currently the sixth largest in Guild with a 3.05% stake, according to LSEG data.