Team Liquid raises $35 million at $415 million valuation
Team Liquid, client of Tom Armstrong, earns big win in financing for their growth and expansion goals.
Pictured below: Tom’s son Tyler, with Team Liquid co-President Victor Goossens at the Cologne Germany CSGO tournament.
Team Liquid, alongside parent company aXiomatic, announced the close of a $35 million financing round today to support the esports organization’s growth and expansion strategy. The investment round elevates Team Liquid’s valuation to an estimated $415 million, making it the most valuable esports organization based on a valuation confirmed by a successful raise. Ares Management led the round, marking the investment manager’s first investment within the esports industry. LionTree served as Team Liquid’s and aXiomatic’s financial adviser for the transaction.
Alongside FaZe Clan’s pending $118 million PIPE investment as part of its scheme to go public on the NASDAQ through a SPAC (special purpose acquisition company) merger and a $57 million investment secured by French outfit Team Vitality, Team Liquid’s $35 million investment round marks one of the largest raises by an esports organization in 2022.
The round also included contributions from Hiro Capital, a European venture fund with a focus on esports, video games, streaming, and digital sports; Revolution Growth, a venture fund led by Ted Leonsis, aXiomatic co-executive chairman and founder, chairman, majority owner and CEO of Monumental Sports & Entertainment; AOL co-founder Steve Case; Softbank Capital veteran Steve Murray; and several existing aXiomatic investors.
Coming off a year with record topline revenue growth, Team Liquid is looking to leverage its momentum with its fresh capital by further advancing its esports efforts and international business operations. The organization shared in a release that funding will be specifically used to support potential mergers and acquisitions, innovation across fan engagement platforms, partnership offerings and activations and development and infrastructure in Brazil.
Team Liquid has one of the largest footprints in the esports ecosystem. The 20-year-old brand is represented across 19 major esports titles, fields more than 120 athletes and operates two training facilities and multiple enterprise units. Team Liquid is also popular among non-endemic sponsors, with brands such as Verizon, Coinbase, SAP, Honda, Monster Energy, and Jersey Mike’s Subs supporting the organization.