100 Thieves, an esports company based in Los Angeles, has raised $60 million from investors taking the valuation to $460 million, making it one of the largest competitive video gaming companies.
Led by Green Bay ventures, the round of funding also included investors such as Artists Capital Management and Breyer Capital. 100 thieves, founded by Matt Haag, a former professional video gamer, operates a handful of esports teams. It is also in the business involving video gaming culture, sells apparel, and works with social media influencers who play video games but do not compete in professional esports leagues.
The market worth of 100 thieves tripled in the last 2 years and bucking the trend when other esports companies struggled to live up to the hype of video gaming. Though the number of people playing video games has increased, the valuation of the team they play for has not increased due to living event business revenue affected by the pandemic.
The investors are still willing to plow money into the gaming business, which was evident from the IPO performance of Roblox Corp. earlier this year. 100 thieves also benefited by diversifying its business and makes about two-thirds of its revenue from gaming-related entertainment like podcasts and apparel.
100 thieves own teams in leagues including Call of Duty, Valorent, games League of Legends, and two of its popular gamers Valkyrie and CouRageJD. The last two are known for fun videos on YouTube more than gaming skills and are also co-owners in the business.
Sales are forecasted to double this year for 100 thieves though the company has declined to give specific figures. John Robinson, CEO and President of the company said, “Esports has grown solidly, but the gaming has grown astronomically. The year was recorded for 100 thieves.“
The company is not yet making profits, and it expects to use the funds to invest in the business. It had increased its headcount by more than triple during the pandemic, starting with 30 people and now employing more than 100. It plans to make more acquisitions and programming for social media, especially TikTok. In October, the company’s first acquisition was buying the keyboard maker, Higround.
100 thieves have now raised $100 million-plus in total. They have attracted high-profile backers, including Dan Gilbert, Cleveland Cavaliers owners, Music Manager Scooter Braun and rapper Drake. They will be on the company’s Board.
