Drake Star Partners advises BLAST on growth equity capital raise
May 14, 2020
BLAST, a global esports media network, has announced the closing of its growth equity capital raise from a consortium of venture capital and private investors. Drake Star Partners acted as the exclusive financial advisor to BLAST and its shareholders on this transaction. BLAST is a Copenhagen and London based, global esports media network hosting the BLAST Premier Series, the leading Counter-Strike: Global Offensive (CS:GO) tournament on the professional esports circuit and BLAST Bounty Hunt in DOTA 2. The new capital will be used to cement BLAST’s position as the number one CS:GO series, develop new esports-related entertainment formats as well as expand the brand into new esports titles, markets and verticals.
Commenting on the investment, Robbie Douek, CEO of BLAST, said: “The new investors and partners who have joined BLAST bring a wealth of technology and development experience to our company. Conducting this raise during COVID-19 presented a few challenges, but the round closed due to the long-term outlook for our industry and the strength of our business model. Drake Star Partners’ expertise in the esports and technology space really helped to facilitate this transaction, managing the process throughout and providing invaluable corporate finance expertise to help showcase our attractive business fundamentals and global vision.”
Kasper Kruse Petersen, Partner at Drake Star Partners, said: “We are proud to have worked with BLAST on securing funding for the next stage of the Company’s growth story. Robbie and the team have created a highly unique media proposition that is connecting esports to the mainstream, and we look forward to seeing the business develop into the leading global esports media network. The deal is a landmark transaction for Drake Star Partners in the sports tech / esports space, as we look to leverage our expertise in the wider sports tech sector to help current and future clients.”
The esports sector, a $3bn market by 2022, continues to be a highly attractive space for investment. The opportunity for broadcasters and sponsors to access highly tech-enabled but hard-to-reach millennials is unparalleled, which will increase the value of media rights and sponsorship deals significantly going forward.
The sector has gained additional momentum in the current COVID-19 climate, with most traditional sports turning to esports as a means of delivering new content and maintaining fan engagement. Drake Star Partners believes teams, leagues and rights holders will need to develop an integrated esports strategy to complement traditional sports models.