Faze Clan to go public in $1 Billion SPAC deal

Big move for the gaming scene

Faze Clan, the world's most popular esports and entertainment organization, has announced it is set to become a publicly listed company.

Earlier today, FaZe Clan announced a deal to merge with special purpose acquisition company B. Riley Principal Merger Corp, which will see the combined company reach an “equity value of approximately $1 billion.”

The deal with B. Riley Principal 150 Merger Corp will provide $291 million to FaZe, including a private placement in public equity of $118 million and gross proceeds of around $173 million from the special purpose acquisition company's (SPAC) IPO.

A SPAC is a shell company listed on the stock exchange that raises funds with the intention of merging with a private company within two years of floating their shares. The private firm goes public through the merger.

With funding from the business combination, FaZe plans to further diversify its revenue streams with user monetization, expand its global footprint, and grow its presence across content, gaming, entertainment, consumer products, and even the metaverse.

Lee Trink, CEO of FaZe Clan, said, “We are thrilled to announce this important milestone of FaZe Clan’s plans to enter the public market. In our short history, we have evolved from a disruptive content generator to one of the world’s most decorated and successful esports franchises, and now into one of the younger generations’ most recognized and followed brands globally.”

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