Following a steady decline in stock price and massive debt, David Beckham-backed gaming company Guild Esports is closing to a buyout.
According to Reuters, the firm has almost made a deal with DCB Sports, a California-based business.
The main purpose of this transaction is to eliminate the liabilities accrued over time. By signing the letter of intent, Guild Esports also passes all the assets to DCB Sports, which includes a large number of eSports contracts.
An interesting fact about Guild Esports is that it was the first eSports business listed on the London Stock Exchange in 2020.
It came on the market with a $52.6 million market capitalization, which was a lot for such an organization. But it seems that valuation has only plummeted since then.
Guild Esports Financial Struggles and Eventual Decline
Unfortunately, Guild Esports's stock price steadily declined from this point onward. For example, their initial stock price was 8.15 pounds, compared to today's 0.12 pounds.
Over time, the company continuously invested in its projects without being able to cover the expenses. The trend continued until the company eventually decided to throw in the towel.
According to Guild Esports CEO, Jasmine Skee: “The Board is looking...
