Business
GameSquare To Acquire One of the Biggest Names in Gaming, FaZe Clan
EXPANDS SCALE AND CAPABILITIES TO CREATE A LEADING CONTENT, MEDIA, AND ENTERTAINMENT COMPANY FOCUSED ON GAMING, ESPORTS AND YOUTH CULTUREReturns FaZe Clan's
About this update from Gamesquare Holdings, Inc.
[{"type":"text","content":"EXPANDS SCALE AND CAPABILITIES TO CREATE A LEADING CONTENT, MEDIA, AND ENTERTAINMENT COMPANY FOCUSED ON GAMING, ESPORTS AND YOUTH CULTUREReturns FaZe Clan's founders to lead the FaZe brand and reestablish authenticityEstablishes the largest audience in gaming with over 1 billion social followersSignificant cost-saving opportunity of over $18 million on a run-rate basisCombined company to manage a robust portfolio of brand partnerships, including Porsche, Jack In The Box, Xfinity, Miller Lite, H-E-B, GHOST and moreTransaction expected to close in the fourth quarter of 2023FRISCO, TX and LOS ANGELES, CA / ACCESSWIRE / October 20, 2023 / GameSquare Holdings, Inc. (\"GameSquare\") (NASDAQ:GAME);(TSXV:GAME) and FaZe Holdings Inc. (\"FaZe Clan\") announce that the two companies have entered into a definitive agreement pursuant to which GameSquare will acquire FaZe Clan in an arm's length all-stock transaction. The acquisition brings together two complementary businesses to create one of the world's leading content, media and entertainment companies focused on gaming, esports, and youth culture. The combined company will be powered by a progressive end-to-end platform of leading media and agency organizations, gaming and esport teams, creative services, and technology capabilities. Combined, FaZe Clan and GameSquare generated annual revenue of approximately $138 million and achieved a 26.3% gross margin in 2022. Management expects to realize over $18 million in run-rate cost savings from the FaZe Clan acquisition, supported by reduced duplicate corporate costs and other cost savings. The combined company plans to give guidance once the transaction is closed.\"The gaming community represents one of the largest and most engaged segments of the attention economy,\" stated Justin Kenna, CEO of GameSquare. \"The acquisition of one of the biggest names in gaming serves as a perfect illustration of how we have built a powerful infrastructure with expansive scale that we can use to leverage the full spectrum of resources within the GameSquare ecosystem. We are also thrilled to welcome back the founders of FaZe Clan and their fans, one of the most deeply engaged communities born on the internet.\"\"I'm confident that with Tommy, Apex and me back in charge of the brand, FaZe Clan will get back to where it was in its peak years,\" stated Richard ...