Blue Star Capital plc (LON:BLU), the investing company with a focus on esports, technology and its applications within media and gaming, today provided an update in respect of its esports investee company, Diemens Esports PTY Ltd, formerly The Cubs Esports PTY Ltd.
The Directors of Blue Star are pleased to learn that, on 3 February 2020, its investee company Diemens announced its intention to merge with Critical Hit Entertainment PTY Ltd (“CHE”).
The Company has been advised that the merged entity, which will continue to trade under the name CHE, is expected to be one of the largest esport service infrastructure providers in Australia with combined revenue for 2019 of AUS $600,000. CHE will own the largest high school and university student, corporate and club level organised esports networks in Australia.
CHE intends to continue to develop its esports infrastructure product in Australia and anticipates raising funding to expand into developing countries in Asia.
Blue Star acquired an interest of 13.3 per cent. in Diemens on 6 November 2019 and will have an interest of approximately 6.6 per cent of the merged entity immediately following the merger.
Tony Fabrizi, CEO of Blue Star Capital said: “This is an exciting development for Diemens and should provide the company with a strong platform to aggressively pursue its Asian expansion plans.”