The shock sale to the Saudi firm is set to change the landscape of esports – in what way is still up in the air.
Savvy Gaming Group, which is backed by the Saudi Arabian government’s Public Investment Fund, has acquired ESL for a cool $1bil. At the same time, the same group has also purchased FACEIT for $500mil. With these acquisitions ESL Gaming, the world’s leading independent esports company, and FACEIT, the leading digital destination for competitive gamers, are joining forces to shape the future of competitive gaming under the name ESL FACEIT Group.
The ESL FACEIT Group will now come under the new ownership of Savvy Gaming Group (SGG), taking over from previous owners MTG. The deal is subject to regulatory approval and is expected to close in Q2 2022.
ESL and FACEIT will retain their leadership teams in the new group, with a new structure that would see Craig Levine and Niccolo Maisto as co-CEOs. Ralf Reichert, co-founder of ESL, will move into a non-operational role as Executive Chairman, supporting the leadership team. ESL FACEIT Group will continue to embrace both companies’ shared values and strategic goals, and promote the creation of engaging, accessible, and socially competitive experiences for gamers around the world.
“Our mission remains unchanged: to create a world where everybody can be somebody. Our merger with FACEIT, along with the backing of SGG, will give us more know-how, capabilities, and resources than ever before to deliver on this vision. Whether you are competing or watching, doing so socially or at a professional level, every stage of the pathway will be improved through this merger. For gamers, publishers, and partners, this is a hugely exciting proposition, to be able to take everyone on the journey from your first step into competition to playing on the biggest esports stages globally.” - ESL CEO Craig Levine
“In the past years, ESL and FACEIT had a significant positive impact for the growth of the esports industry, bringing a variety of propositions for players, teams, publishers, and developers. By uniting these complementary capabilities, and with the backing of SGG, we are taking a long-term approach to develop a more robust platform to better support the future of the whole competitive gaming ecosystem and generate more value for all its stakeholders in a sustainable way.” - FACEIT CEO Niccolo Maisto
“SGG has committed to invest heavily in the games and esports industry and to materially strengthen the global games community. We are delighted to be working with ESL FACEIT Group – a deal that will enable us to actively support the creation of a world-class esports ecosystem. With our investment, ESL FACEIT Group will be able to accelerate their development of an unrivaled experience for players and fans” - SGG CEO Brian Ward
ESL FACEIT has confirmed that their current brands (FACEIT, DreamHack, ESL, ESEA, and Badlion) will continue operating as before, each in its own style. Fans and pundits online are however worried that with the new Saudi ownership, inclusivity may be reduced when compared to the previous level - the new owners did not comment on this as of yet.
The transaction is expected to close in Q2 2022.
