Faze Clan acquired for $17 million, one year after its $725 million SPAC
by Umar Shakir from The Verge - All Posts on (#6FR1T)
Faze Clan team winning Halo World Championship 2023. | Image: Faze Clan via X Gaming analytics and esports brand company Gamesquare, which counts Dallas Cowboys owner Jerry Jones as one of its investors, is acquiring the struggling gaming influencer group Faze Clan. The all-stock deal is worth about $17 million, Bloomberg reports, a steep drop-off from Faze's $725-million valuation at the time of its special purpose acquisition company, SPAC, merger in July of 2022.
Since the SPAC made it publicly traded on the Nasdaq exchange, Faze Clan, like much of the esports industry, has struggled, with the company posting a $28.4-million loss through the first half of 2023," according to Bloomberg. Last month, Faze Clan's troubles reached an inflection point that led to the firing of CEO Lee Trink, who once compared the...