- Enthusiast (EGLX) has acquired Outplayed, owner of U.GG, one of the world’s largest League of Legends fan communities
- It will pay a total consideration of US$45 million in cash and stock, plus two-year earnouts of up to $12 million
- U.GG hosts a current monthly active user base of approximately 8 million players and is expected to generate $8 million in revenue and $3 million in net income next year
- Enthusiast Gaming is building the largest media and content platform for video game and esports fans to connect and engage worldwide
- Enthusiast (EGLX) is up by 1.58 per cent and is currently trading at $5.15 per share
Enthusiast (EGLX) has acquired Outplayed, owner of U.GG, one of the world’s largest League of Legends fan communities.
The company will pay a total consideration of US$45 million in cash and stock, plus two-year earnouts of up to $12 million.
U.GG is expected to generate $8 million in revenue and $3 million in net income for the year ended December 31, 2022.
Founded in 2017 by Shinggo Lu and Alan Liang, U.GG was incubated at Harris Blitzer Sports & Entertainment’s Sixers Innovation Lab. It has since grown into one of the largest global services for the world’s most popular esport, League of Legends, by transforming high-quality data into smarter insights for fans and gamers. It hosts a current monthly active user base of approximately 8 million players.
Publisher Riot Games announced that active players across the League of Legends franchise reached 180 million in October 2021, a record high. The 2021 League of Legends World Championship held earlier this month also reached a record high of 74 million peak concurrent viewers.
Adrian Montgomery, CEO of Enthusiast Gaming, stated,
“Financially, the acquisition is accretive and integrates very well within our existing business model, adding new media availability and opportunities for our direct sales team, proprietary content and subscription offerings. Shinggo, Alan and the U.GG team have built something special, and we are excited to welcome them to the Enthusiast Gaming family.”
Shinggo Lu, Founder and CEO of U.GG, added,
“We are excited to join Enthusiast Gaming as we continue building a go-to destination for League of Legends fans. Alan and I would like to thank the Sixers Innovation Lab for being an integral part of our success to date. We are ready for the next part of our entrepreneurial journey alongside some of the brightest players in gaming and esports.”
Enthusiast Gaming is building the largest media and content platform for video game and esports fans to connect and engage worldwide.
Enthusiast (EGLX) is up by 1.58 per cent and is currently trading at $5.15 per share as of 11:16 am ET.