Shoreditch-based Fnatic is launching a crowdfunding campaign on the back of an increased interest in esports and a recent internal funding round.
Venture capital firm Beringea led the $10m round with participation from existing investors Unbound, LVL1 Global and JHD, bringing total investment in Fnatic to nearly $35m.
Fnatic, which is the second most watched team of the year, has announced it will launch a crowd equity campaign with crowdfunding platform Crowdcube.
Crowdfunding gives supporters an opportunity to invest in the business and the proceeds will be used on initiatives to “seek out and level up the next generation of gamers.”
“We’ve been looking to conduct a crowdfund campaign for a while,” said Sam Mathews, founder and chief executive of Fnatic. “We’re very excited to be working directly with our audience, partnering with them to shape the future of Fnatic, and of entertainment, sports and gaming performance.”
Fnatic is a leading brand in the esports market having won more than 200 competitions across 30 different games.
It currently has brand partnerships with the likes of Gucci, BMW and Monster Energy and earlier this month announced it had signed musician Not3s to its roster. He is the first musician to sign with an esports company.
The esports industry has enjoyed somewhat of a boom this year as traditional sports suffered from coronavirus restrictions.
Football star David Beckham has moved into the esports world with the launch of Guild Esports, which listed on the London Stock Exchange last month.
The former England captain is an original shareholder and will hold a 4.78 per cent stake in the company, making him the fourth-largest shareholder.
“Esports is an industry experiencing explosive growth, and yet in many ways is still in adolescence,” said Karen McCormick, Chief Investment Officer of Beringea. “Having evaluated the industry from many angles, Fnatic was a relatively simple investment decision given the premier status of the brand… while maintaining a clear focus on economics and profitability.”