Ailing esports firm, Major League Gaming, has become part of the publishing behemoth in a takeover deal worth $46 million cash. Or rather, MLG continues to operate as MLG but Activision has acquired the bulk of its assets and associated liabilities. As part of the deal, CEO Sundance DiGiovanni has been ousted and replaced with former MLG CFO Greg Chisholm.
Minority shareholders are a little upset about the deal—because nobody bothered to consult them. Suspicions are that much of that money will go towards relieving MLG’s $6 million debt as opposed to investors’ pockets. Esports Observer reported a poignant quote from one such individual: “I got f**ked on stock.”
In less corporate terms, I see consequences for esports already. MLG’s fortunes took their most visible dive when ESL was awarded the Call of Duty World League in preference. But of course, ActiBlizzard owns Call of Duty, as it owns Starcraft and Overwatch. It’s hard to imagine them on show anywhere other than Activision’s new-grown, $46-million esports arm.
