Yahoo Finance FaZe Clan to List on Nasdaq Through B. Riley Corp Merger
FaZe Clan is going public via a SPAC.
The Los Angeles-based gaming lifestyle and media platform on Monday said it is expected to list on the Nasdaq through a merger agreement with B. Riley Principal 150 Merger Corp that is expected to close in early 2022.
More from WWD
Following the transaction, which has an implied equity value of $1 billion, including $275 million of cash, BRPM will change its name to FaZe Holdings and be listed on the Nasdaq under the new ticker symbol “FAZE.” The combined company will be led by FaZe Clan chief executive officer Lee Trink, who will become chairman of the board, as well as chief financial officer Amit Bajaj, chief strategy officer Kai Henry who joined FaZe in May 2021 and chief legal officer Tammy Brandt. Estimated transaction proceeds of $291 million will be used to fund FaZe’s growth strategy.
“We are thrilled to announce this important milestone of FaZe Clan’s plans to enter the public market,” said Trink in a statement. “In our short history, we have evolved from a disruptive content generator to one of the world’s most decorated and successful esports franchises, and now into one of the younger generations’ most recognized and followed brands globally. We believe FaZe Clan is becoming the voice of youth culture, a brand that sits at the nexus of content, gaming, entertainment and lifestyle in the digital-native world.”
He added that the capital and access to the public markets will help FaZe expand its multiplatform and monetization strategy.
“We are so grateful to the millions of loyal fans who have helped us take FaZe Clan to the next level, without whom this would not have been possible,” Trink said. “Lastly, we look forward to working with Dan and Bryant, and the B. Riley team and appreciate their support and confidence.”
Dan Shribman, CEO and CFO of BRPM and chief investment officer of B. Riley Financial, sees this merger as a “tremendous opportunity” for the future of media and entertainment. BRPM is a special purpose acquisition vehicle controlled by an affiliate of B. Riley Financial.
“With unmatched social media reach and Gen Z engagement, and the opportunity to meaningfully expand its global multiplatform presence across content, gaming, entertainment, consumer products and the metaverse, we believe FaZe Clan is a compelling investment with the potential to create significant value,” he said.
FaZe Clan is one of the leading esports organizations based in the U.S., with a roster of dedicated competitive gamers, content creators and teams that compete in Fortnite, Call of Duty, Counter Strike, Pubg, Valorant, Fifa and Rocket League among others. The organization also tapped athletes, musicians and celebrities to join its roster including NBA All-Star Ben Simmons and rapper Offset.
The organization also launched a number of fashion, merchandise and lifestyle collaborations, including a long-standing partnership with Kappa, G-Shock, Ma®ket and recently with artist Takashi Murakami. The launches have been supported by special merch collections centered on FaZe competitors and content creators. Professional sports leagues and franchises also tapped FaZe for special projects such as the NFL for the first virtual NFL Draft in 2020 and Manchester United.
FaZe Clan reports its fan base is expected to exceed 350 million across combined social platforms and for 80 percent of its audience to be between the ages 13 and 34.
Sign up for WWD's Newsletter. For the latest news, follow us on Twitter, Facebook, and Instagram.
