The sale of ESL Gaming is now complete. On April 21st, Modern Times Group, otherwise known as MTG, announced it had successfully completed its sale of ESL Gaming to Savvy Gaming Group.
This means that ESL will no longer be a part of MTG and that the organization will report “discontinued operations” when MTG announces its financial results for Q1 2022 in the coming weeks. Moreover, this move will allow MTG to continue to grow as an international mobile gaming company with a diversified portfolio made up of many different games and genres.
“We’re excited for ESL Gaming to take the next step on their journey as the transaction closes, as well as for the opportunities that MTG sees going forward as gaming group,” said MTG’s CEO, Maria Redin. “I would like to thank everyone involved in this transaction, and in particular ESL’s leadership team. Ralf Reichert and Craig Levine have been the best partners that we could have imagined on this journey. I wish them and everyone at ESL the best of luck and immense success going forward.”
MTG divested ESL Gaming to Savvy. This divestment is expected to generate $875 million in net proceeds for the organization. About 40% of that will be returned to MTG shareholders through a combination of share redemptions and share buybacks.
This has been a long time coming. MTG first announced it would be selling ESL Gaming to Savvy back in January for more than $1 billion. As a result of this acquisition, Savvy also acquired FACEIT and merged that entity with ESL Gaming to form the ESL FACEIT Group. Since then, the ESL FACEIT group has emerged as one of the world’s leading competitive gaming platforms and independent esports companies.