Esports Entertainment Group acquires Esports Gaming League for $ 5.5 million

Sportsbook and entertainment company Esports Entertainment Group has announced the completion of the acquisition of the UK-based tournament operator Esports Gaming League (EGL), part of the Phoenix Games Network. Under the terms of the acquisition, Esports Entertainment Group acquired the entire Phoenix Games Network stake for a total of $ 5.5 million.

Esports Gaming League, which was founded by Glen Elliot in 2005, is a b2b-oriented tournament operator. EGL is operated by XSeries, a UK registered company wholly owned by the Phoenix Games Network. Esports Gaming League will join the Esports Entertainment Group's portfolio of esports assets, including esports organization Team Genji, Helix eSports, and management and consulting company ggCircuit.

Esports Entertainment Group will pay the transaction amount in several installments. The company has made an initial payment of $ 2.42 million, which includes cash awards of $ 494,000 and 292,211 shares of $ 1.93 million. Phoenix Games Network will be eligible for the remainder if the company meets certain revenue targets by May 16 2021 year.

In addition, Phoenix Games Network is eligible to receive an additional $ 2.74 million if Phoenix Games meets or exceeds earnings before interest, taxes, depreciation and EBITDA of $ 2.74 million within 18 months from the date of the acquisition.