Via Axiomatic Gaming | News

M&A wrap: Bruce Stein, David Rubenstein, Michael Jordan, Axiomatic

October 26, 2018 | Author: Leo Hsu

A group led by Michael Jordan and Carlyle Group LP (Nasdaq: CG) co-founder David Rubenstein have invested in e-sports and video game startup Axiomatic, which is led by CEO Bruce Stein (pictured). Rubenstein is investing through his family office Declaration Capital. Jordan, who owns the NBA’s Charlotte Bobcats, is remembered for winning six championships with the Chicago Bulls in the 1990’s. Axiomatic was started in 2015 to capitalize on the e-sports industry, which features professional video-game players competing for prize money in front of large audiences. In 2016, Axiomatic acquired a controlling stake in Team Liquid, another e-sports company. “The next generation of sports fans are e-sports fans,” says Axiomatic co-chairperson Ted Leonsis, who also owns the NBA’s Washington Wizards and the NHL’s Washington Capitals. “E-sports is the fastest-growing sector in sports and entertainment, and aXiomatic is at the forefront of that growth.” The e-sports industry is expected to generate about $906 million in revenue in 2018, according to research firm Newzoo. Also joining Jordan and Rubenstein on the investment are: Golden State Warriors and Los Angeles Dodgers part owner Peter Guber; Jeff Vanik, owner of the NHL’s Tampa Bay Lightning; and Oaktree Capital co-founder Bruce Karsh. Axiomatic is not Jordan’s first investment. He is also an investor in hiring startup Gigster; headphone maker Muzik; and sports data firm Sportradar. For more on athletes and their investments, see our list: Serena Williams and other athletes invest in healthy meals and more. Gibson Dunn & Crutcher advised Axiomatic.

Separately, a consortium that includes Axiomatic, Iconiq Capital, KKR & Co. (NYSE: KKR), Kleiner Perkins, Lightspeed Venture Capital, Smash Ventures and Vulcan Capital have invested about $1.25 billion in Epic Games, the maker of Fortnite. “Epic Games has fundamentally changed the model for interactive entertainment under the company’s visionary leadership,” says KKR director Ted Oberwager. Guggenheim Securities, the Raine Group and Smith Anderson advised Epic Games.

author

Leo Hsu

Director, Strategy

Gaming

Related news

Esports Ownership Group aXiomatic Secures Investments from Michael Jordan and Declaration Capital

Capital will support continued growth of esports brand Team Liquid. LOS ANGELES- As part of an ongoing mission to empower unforgettable esports experiences, esports ownership group aXiomatic today announced the addition of Michael Jordan and Declaration Capital as investors. “The next generation of sports fans are esports fans,” said Ted Leonsis, Co-Executive Chairman of aXiomatic …

Read More

Go Behind the Scenes of aXiomatic’s Site Redesign with AoE Creative

To reimagine aXiomatic’s website we enlisted our friends at leading marketing agency—and aXiomatic portfolio company—AoE Creative. With their deep understanding of our industry and audience, as well as our organization’s unique positioning, we could think of no better partner to entrust with telling aXiomatic’s story anew. I sat down with AoE’s Markel Lee and Nabil …

Read More

Peter Guber and Bruce Stein See Bright Future in Esports Business

LOS ANGELES — As roughly 21,000 fans gathered at Staples Center in Los Angeles for the League of Legends World Championship, two of the country’s most well-known media influencers and businessmen, Peter Guber and Bruce Stein, sat in the Los Angeles Lakers’ suite in the arena. Guber and Stein are former executives at Sony Entertainment, …

Read More