Mentioned in this article
- Millennial Esports to acquire Italian motorsport simulator manufacturer and Ferrari Driver Academy technical partner Allinsports for $6.25M USD.
- Allinsports was founded by ex-Formula 1 engineer Anton Stipinovich in 2008 who worked for teams including Ferrari, McLaren, and Red Bull Racing.
- Allinsports’ eRacer simulator will be used in Millennial Esports’ upcoming World Fastest Gamer competition.
Millennial Esports, a Canadian TSX Venture Exchange (TSXV) listed company, will acquire motorsport simulator manufacturer Allinsports by purchasing a 51% stake in the company for $6.25M as both parties have entered into a binding letter of intent. The closing of the transaction needs to be approved by the TSXV.
Allinsports is the latest addition to Millennial Esports’ esports portfolio and part of the company’s recent global restructure. The portfolio also includes Spanish esports and gaming data specialist Stream Hatchet and French mobile racing games developer Eden Games.
Founded in 2008 by former Formula 1 engineer Anton Stipinovich, Allinsports manufactures high-end racing simulator systems used by leading race teams across the globe, as well as the eRacer esports simulator equipment that will be used in Millennial Esports’ upcoming “World’s Fastest Gamer” competition which will award the winner with a real-world GT race drive in 2020 valued at more than $1M.
“Bringing Allinsports into the Millennial Esports family is a perfect fit as we now cover vast and broad revenue streams of the esports racing market – from mobile gaming through to simulators used by Formula 1 teams,” Millennial Esports President and CEO, Darren Cox said in a release. “We’re excited to work with Anton and his team to further expand Allinsports and bring these life-like simulator experiences to more and more people with a key focus on esports which will know will bring more sales and revenue to the company.”
Following the acquisition, Millennial Esports will have the option to purchase the remaining 49% of Allinsports in a six-month timeframe beginning 18 months after the closing of the transaction for at least ten times of EBITDA for the fiscal year 2020 or $20M based on milestones. In 2018 Allinsports generated a net income of €38K EUR ($42K) from total revenues of €2M ($2.2M)
Beyond manufacturing simulators, Allinsports also operates a concept venue in Miami that explores the future of physical esports racing operations. The facility includes a full-size full-motion racing simulator that is used by professional teams and drivers as well as esports professionals to train and compete in online events.
“Allinsports has played a key role in the development of racing simulators for the biggest teams in the world, and we’re very excited about further expanding into the world of esports with Millennial Esports,” Allinsports Founder Stipinovich said in a release. “By joining forces with Millennial we’ll be able to rapidly expand our presence in this sector and help introduce more gamers to the life-like experiences of sim racing. Our experience with Ferrari in helping develop young drivers is also key for us in helping Millennial Esports find new racing stars through programs like World’s Fastest Gamer.”
Credit: Source link
