Your Gaming and Esports Update

Deals

Roblox Delays Listing (Again)

Roblox has postponed plans to go public because of the U.S. Securities and Exchange Commission’s scrutiny of how the video game platform recognizes revenue in its finances, according to a memo the company sent to employees on Thursday. The SEC has reservations over the way in which Roblox recognizes revenue from the sale of its currency, Robux, on its platform, according to the memo seen by Reuters. The SEC wants Roblox to be more specific and recognize revenue on consumable products as they are consumed, while the durable services will still be recognized over the life of the Roblox user, the memo said.

Buildbox Raises $20M

Buildbox has announced that it has raised $20m for recruitment and to launch a new advertising program. The platform, which was acquired in 2019 by AdColony founder Jonathan Zweig via his AppOnboard company, has purportedly been used by one million developers to create games which in turn have been played by 100 million players, with prominent examples including Color Switch and Dangle Dash.

Tencent Invests in Dontnod and Acquires Klei Entertainment

Tencent has added Dontnod to its increasingly lengthy list of game developer investments. The French studio behind Life is Strange and Tell Me Why today announced that it is raising $48.5 million to help it realize its self-publishing ambitions, including $36.3 million from Tencent that will give the Chinese tech company a minority stake in the company. Tencent has also acquired a majority stake in Klei Entertainment, the studio behind such games as Don’t Starve and Mark of the Ninja. Klei Entertainment founder Jamie Cheng took to the studio’s forums to announce the news and to assure its fans that “as part of this agreement, Klei retains full autonomy of creative and operations across all aspects of the studio, including projects, talent, and more.”

Qiiwi Games Raises SEK66.5M

Qiiwi Games has announced that it has secured SEK66.5m (£5.85m) via the directed issuance of one million shares at a discount of approximately 14.3% compared to its closing price on 26th January 2021. The issue of new shares was purportedly undertaken in order to diversify its ownership base among both domestic and international investors, as well as securing additional capital for general corporate purposes.

Mobile Premier League Raises $500k Through Employee Investments

Indian esports and mobile gaming platform Mobile Premier League (MPL) announced yesterday that it has raised $500,000 (£364,200) as part of its Employee Investment Plan. MPL launched the investment plan, which allows employees to become shareholders of the company, in December last year. Existing employees could acquire stock in MPL by investing anywhere between $2,300 (£1,675) and $23,000 (£16,754). According to the release, over 10 per cent of MPL employees participated in the plan.

Updates

Video game companies band together to help a children’s hospital

Game companies compete with each other furiously, so it’s sometimes news to see them come together. That’s the mission behind ​Gamers for CHOC​, a coalition of employees from gaming-related companies. They have banded together to support the Children’s Hospital of Orange County (CHOC) in Southern California. The group’s mission is to rally the gaming community together to raise funds for CHOC as part of a year-long 30th-anniversary celebration of its annual 5K CHOC Walk fundraiser (this year transformed into Virtual CHOC Walk).

Guild Esports Signs Two-Year Deal with HyperX

UK-based organization Guild Esports has announced its second sponsorship deal since its London Stock Exchange debut in October, partnering with gaming peripherals brand HyperX. According to a release, the contract value — which has not been disclosed — is ‘in line with [Guild’s] expectations at the time of IPO’. Guild will receive 75 percent of the consideration in cash, in equal amounts over two years. The remaining 25 percent of the contract value will be provided through gaming hardware for Guild’s pro players, content creators, and academy students.

Ninjas in Pyjamas Rebrands

Swedish esports organization Ninjas in Pyjamas (NiP) has unveiled a new visual identity for the team as part of an official rebranding. According to a press release, the rebranding was ‘crucial to the company’s continued development and purpose,’ which includes the creation of experiences that entertain, inspire, and connect fans across the world.