Schroders has bought into Guild Esports (LON: GILD) shares as it looks to get exposure into the ever-growing world of professional gaming.
Backed by David Beckham, Guild Esports announced earlier in the week it was to enter into the world of Fortnite by signing top-ranked player Nikolaj Andreas Frøslev (‘Flikk’). It is a UK-based developer and owner of esports teams.
Statistics show that there is a lot of money to be made by professional gamers in Fortnite; the total prize money for professional competitions around Fortnite alone was $64.42m during 2019 – the biggest out of any game for the year according to Statista:
“Fortnite has achieved tremendous success and is one of the most important games of our generation. Guild is excited to join the thriving global Fortnite community and our entry into this esport is one of our biggest plays so far as we realise our ambitions to compete in the industry’s most popular titles. We have big plans for Fortnite and look forward to creating engaging content and esports entertainment for its huge audience.”Carleton Curtis, Executive Chairman
While shares in GILD were trading as high as around 8p following its IPO, they since slumped to 5p before recovering and closing Friday 17% higher at 7p.
Schroders TR-1 notification shows that it has commenced with a 5% holding in GILD.
GILD Esports market cap currently stands at £36m.
With a reputable investment manager such as Schroders buying into GILD, it suggests this is one to watch.