The esports world recently experienced a shakeup as Giants Gaming, from Spain and Excel Esports from the UK joined forces to create a powerhouse called GIANTX. This is not a merger. The birth of an esports giant that aims to redefine the competitive landscape.

Combining Legacy and Ambition

Giants Gaming with their standing presence since 2008 has established themselves as Spains leading esports organization. They are not known for their excellence. Also as one of the founding members of the League of Legends EMEA Championship showcasing their competitive prowess. On the hand Excel Esports, a rising star formed in 2014 brings their dynamic approach and cutting edge talent to the mix. Their teams in Valorant, League of Legends and EAFC exemplify their commitment to achieving greatness.

Synergy for Dominance

GIANTX is not satisfied, this merger creates a force that spans three key esports markets; Spain, the United Kingdom and Germany. With this positioning they can tap into audiences nurture regional rivalries while expanding their influence, on an international level.
Malaga, Spain and London England will function as the centers, for the organization while a state of the art training facility in Berlin will ensure that their teams maintain their peak performance.

The impact of this merger goes beyond winning competitions. GIANTX aims to expedite the growth of both organizations by expanding into markets and nurturing a thriving esports community. This ambitious vision is supported by the backing of JRJ Group and Toms Capital long term investors in Excel Esports. With their continued involvement in GIANTX the organization possesses the resources to fuel its objectives.

A New Era Begins; Innovation and Rivalry

The birth of GIANTX signifies more than a merger; it represents a statement of intent. The European esports landscape is, on the verge of witnessing an era defined by innovation and intense competition. The arrival of GIANTX promises to push boundaries elevate gameplay standards and inspire generations of esports athletes.

This is not merely a tale of two brands coming together; it is a story that encompasses two distinct esports cultures colliding to create an identity that will redefine norms and leave a mark on the global stage. GIANTX is not another team; it embodies a movement.

The world of esports is, on the verge of experiencing the reverberations of its ascent.

After years of searching Guild Esports has unveiled a compelling glimpse into its strategic roadmap for the future within the professional realm of Counter-Strike, shedding light on the next chapter of its competitive journey. The London-based team, backed by the iconic soccer player David Beckham, has strategically expanded its roster by acquiring the talent of Bad News Eagles. Formerly devoid of accolades, this team now is integrated into Guild Esports’ fold, adopting the new moniker of Guild Eagles.

The incorporation of Bad News Eagles into Guild’s portfolio marks a pivotal step in solidifying its standing in the competitive landscape of Counter-Strike. The roster, which includes Sener Mahmuti, Genc Kolgeci, Flatron Halimi, Dionis Budeci, and Rigon Gashi, demonstrates a talented and promising group.

However, Guild Eagles is not merely a constellation of adept players; it is fortified by a formidable coaching and management team. Coaches Jonatan “Devilwalk” Lundberg, Kieran “KayJay” Playfair, and Kevin “kRYSTAL” Amend, along with seasoned manager James Banks, bring a wealth of experience and strategic acumen to the table.

In terms of immediate action, Guild Eagles is currently immersed in a series of smaller-scale Counter-Strike tournaments, including the highly competitive CCT Online Finals. This immediate involvement not only serves as a platform to showcase their prowess but also acts as an exciting prelude for fans eagerly anticipating the display of skills and strategies from the newly minted Guild Eagles in upcoming higher-profile tournaments.

This strategic addition to Guild Esports lineup positions the organization in a way to face challenges head on and achieve heights in the competitive Counter Strike scene. Fans of the team and esports enthusiasts are filled with anticipation, eagerly waiting for the next chapter of this thrilling journey in the world of competitive gaming. As Guild Eagles spreads its wings, we can expect an exhilarating path in the evolving esports industry.

Image by: Guild Esports

A Glimpse into the Past

Astralis first put its spot in the European League of Legends league up for sale in 2022. Despite the organization’s hefty asking price of between USD 40 and USD 50 million, no deal was finalized. Notable teams that showed interest in the 2022 sale included the renowned French organization Karmine Corp and the Spanish esports entity Giants. Both these organizations have a commendable rapport with Riot Games, the developer and overseer of the league, as evident from their spots in VCT EMEA, the European Valorant league.

The LEC Landscape

The LEC has witnessed some significant changes between 2022 and 2023. Misfits Gaming and Rogue, two prominent names, exited the league. While Misfits sold their slot to Team Heretics, Rogue formed an alliance with KOI, which acquired the majority share of Rogue’s LEC slot.

The Current Deal

Karmine Corp made the acquisition by purchasing 66.67% of a newly established subsidiary, AK-Game SAS, for DKK 129 million (ca. USD 18.4). Despite this major transaction, Astralis will continue to hold a minority stake in the League of Legends franchise slot.

Furthermore, Astralis has clarified that the current agreement includes provisions that would allow the Danish organization to initiate additional share transfers if they wish. This could potentially lead to Karmine Corp owning 100% of the AK-Game SAS shares by 2031.

Following this acquisition, Karmine Corp will compete in the LEC under its distinct branding. While their French regional league (LFL) team will remain in the competition, it will now serve as an Academy team.

The subsidiary that holds the slot has been valued by Astralis at DKK 194m (ca. USD 27.8). As a direct consequence of this transaction, the LEC announced that all players from Astralis will become free agents at the onset of the upcoming offseason.

Financial Implications

The anticipated net gain from the 2023 sale is DKK 153 million, with an expected cumulative cash flow effect from 2023-2025 of DKK 112 million. The sale’s completion is contingent on several conditions, all of which are anticipated to be met soon. The LEC slot transfer is slated for November 2023.

A Word from the CEO

Anders Hørsholt, CEO of Astralis, expressed his sentiments on the decision. He praised the LEC for its professionalism and acknowledged Astralis’s growth since joining in 2019. He emphasized the company’s responsibility to evaluate the benefits of a sale against retaining rights, especially when an asset’s value surges. Hørsholt thanked the fans, partners, and everyone associated with their LEC journey and expressed optimism for the future.

Guidance for 2023

Post the LEC slot sale, the 2023 guidance has been revised. The net revenue is now projected between DKK 70 million and DKK 75 million. The EBITDA forecast ranges from DKK 150 million to DKK 155 million, inclusive of the LEC slot sale gain of DKK 153 million.

Astralis’s Legacy and Future

Astralis, which rebranded from Origen in 2020, has been a pivotal part of the LEC. Maximilian Peter Schmidt, Director of League of Legends Esports EMEA at Riot Games, lauded Astralis for its contributions and expressed excitement for Karmine Corp’s entry, highlighting the organization’s strong brand and dedicated fanbase.

Image source: LoL Esports Photo via Flickr, CC BY-NC-ND 2.0 DEED