Enthusiast Gaming Holdings (NASDAQ:EGLX) acquired Outplayed, owners of U.GG, one of the largest League of Legends fan communities. “League of Legends is one of the biggest games in the world, and U.GG is one of the game’s largest fan communities and stats sites”. The total consideration is ~$45M in cash and stock paid at closing and to be paid through a schedule of deferred Anniversary Payments, plus earnouts of potentially up to $12M, subject to certain performance milestones being achieved within a two year from the date of closing. Adrian Montgomery, CEO of Enthusiast Gaming (EGLX): “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…” U.GG is expected to generate revenue of ~$8 million and net income of ~$3 million for the year ended December 31, 2022.
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