0
0
FaZe Clan, a social media platform for the youth generation, is merging with B. Riley Principal 150 Merger Corp and going public at $1 billion valuation. The company will be raising $118 million through private investment in public equity (PIPE) associated with the merger. Pitbull is among FaZe Clan’s investors and existing FaZe Clan stockholders will own 68% of the equity interest in the new company. The deal is expected to close in the first quarter of 2022 and FaZe Clan CEO Trink will be chairman and CEO of the board at the new company.
FaZe Clan is known for its teams that compete in Call of Duty, Counter-Strike: Global Offensive, Fortnite, PlayerUnknown’s Battlegrounds and more. With an audience of about 350 million people on social media, the group opened up Faze Studios last year with one of the producers behind Netflix original 13 Reasons Why. For FaZe, it was ranked the fourth-most valuable esports company at $305 million by Forbes.
Who said Gamers don’t get Money?
Faze Clan will hit the NASDAQ with the ticker symbol FAZE in 2022, but some are skeptical of its arrival on the stock market. Jacob Wolf, a reporter for Dot Esports, criticized the $100 million valuation of Faze Clan, noting that Swift Media Entertainment is worth less than half as much. In its post , Faze Clan says that it plans to step outside content creation to gain a more diverse source revenue.
