Esports Mogul (ASX: ESH) has topped up its majority stake in GameGeek.gg, a news portal in which the company became a major shareholder earlier this year, with Esports announcing today it would acquire the remaining 30% of the parent company GameGeek Pte Ltd.
GameGeek is a dedicated news port that launched for the purpose of reporting on the latest developments within the world of eSports, with Esports Mogul deciding to purchase a 70% stake in April 2018.
Esports has now acquired the remaining 30% of GameGeek taking its stake to 100%.
Esports issued 10 million fully-paid ordinary shares to complete the deal and has confirmed that the scrip will be subject to a 12-month voluntary escrow period.
The rationale behind the move is to establish a solid online presence not only within eSports tournament infrastructure but also to maintain an ongoing marketing and news reporting presence that’s expected to supplement the company’s prime aim of expanding the use of its proprietary platform, Mogul Arena.
According to Esports, Mogul Arena is one of the world’s best online eSports tournament platforms, offering full tournament automation and state-of-the-art social features.
Full spectrum eSports coverage
As part of the takeover, GameGeek.gg has merged with Mogul News and will now operate under the Mogul News brand.
Additionally, Esports confirmed Mogul News will now be actively used as a marketing tool to increase acquisition of players to Mogul Arena through native content including news, events, Mogul Arena updates and partnerships.
“Esports has been involved with GameGeek.gg since the beginning and it’s exciting to now be the sole owner. I am thrilled to welcome onboard the GameGeek team and I can’t wait to nurture fresh ideas to extend the acquisition of Mogul Arena,” said Gernot Abl, managing director of Esports.
Mogul News currently delivers eSports-focused content to fans with various information provided around the clock.
An example of its coverage includes reporting from the upcoming “Extremesland CS:GO 2018” tournament which brings 15 of the best CS:GO (Counterstrike Go) teams from 14 different countries to compete for a $100,000 prize pool and the title of Asia’s best team.
It’s estimated that there are currently 2.2 billion eSports gamers across all platforms globally, and in 2017 the total video game market size was estimated to be US$116 billion (A$162 million).
Gamers have been playing on various platforms such as consoles, PCs and even mobile phones for several years, but the concept of eSports takes game consumption to an entirely new level by empowering professional gamers to play games competitively, while simultaneously attracting millions of online spectators.
As Small Caps reported, Australia’s newest pastime was recently showcased at a Melbourne expo earlier this year, with further eSports extravaganzas planned to take place in 2019.