FaZe Clan, the gaming-centered esports group that has grown from sponsoring professional Call of Duty teams to a full-on entertainment company, will be going public on the stock market following a merger.
The merger, which will combine FaZe Clan Inc. with B. Riley Principal 150 Merger Corp., will result in a transaction valued at “approximately $1 billion” according to FaZe Clan’s site. Once the merger is completed, B. Riley Principal 150 Merger Corp will change its name to FaZe Holdings Inc. and be listed on the NASDAQ as FAZE.
Upon completion of the proposed Business Combination, $BRPM will change its name to “FaZe Holdings Inc.” The combined company’s common stock is expected to be listed on NASDAQ under the new ticker symbol “FAZE.”#FaZeUp | https://t.co/HaHJtFIglW pic.twitter.com/kYW8zurn6j
— FaZe Clan (@FaZeClan) October 25, 2021
“We are thrilled to announce this important milestone of FaZe Clan’s plans to enter the public market,” said Lee Trink, the group’s CEO. “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.”
FaZe Clan will also be making quite a bit of money from the merger to the sum of $291 million. The company plans to put this cash injection towards its rapid growth towards the Gen Z and Millennial digital entertainment spaces. “Net proceeds from the transaction… will be used to fund organic and inorganic growth as the Company [FaZe Clan] expands its digitally native global multi-platform presence across content, gaming, entertainment, consumer products, and the metaverse.”
FaZe Clan is made up of young entertainers and streamers, some of whom were recently suspended indefinitely for promoting a cryptocurrency that lost fans thousands of dollars.