Corporate presentation - May 2021 - Garra Esports
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Corporate presentation
May 2021
The further you get into technology, the
further you go into gaming. That's the
general rule.
Nick Johnson
2
Disclaimer-forward looking statements
Certain information set forth in this presentation contains “forward-looking information”, including “future-oriented financial information” and “financial outlook”, under
applicable securities laws (collectively referred to herein as forward-looking statements). Except for statements of historical fact, the information contained herein
constitutes forward-looking statements and includes, but is not limited to, the (i) projected financial performance of the Company; (ii) completion of, and the use of
proceeds from, the sale of the shares being offered hereunder; (iii) the expected development of the Company’s business, projects, and joint ventures; (iv) execution of
the Company’s vision and growth strategy, including with respect to future M&A activity and global growth; (v) sources and availability of third-party financing for the
Company’s projects; (vi) completion of the Company’s projects that are currently underway, in development or otherwise under consideration; (vi) renewal of the
Company’s current customer, supplier and other material agreements; and (vii) future liquidity, working capital, and capital requirements. Forward-looking statements are
provided to allow potential investors the opportunity to understand management’s beliefs and opinions in respect of the future so that they may use such beliefs and
opinions as one factor in evaluating an investment.
These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve
known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future
performance or result expressed or implied by such forward-looking statements.
Although forward-looking statements contained in this presentation are based upon what management of the Company believes are reasonable assumptions, there can
be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such
statements. The Company undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change
except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.
3
1. Investment highlights
2. Esports industry
3. What is garra esports
4. Team and organizational structure
5. Company Vision
CONTENTS// 6. League of Legends
7. Other game titles
8. Sporting Mentality
9. Branding & Content
10. Studio
11. Extra Life
4
• Rapidly growing global esports industry
• Focus on the Latin American market which is still at an early stage
with very high growth potential
• Fully equipped and established studio with an established of global
Investment highlights and local brands as costumers
• Diverse team with extensive experience in Esports. Latin America,
video gaming industry, capital markets, and video and content
production
5
ESPORTS industry trend highlights
Every third person in the world is a gamer
Steep growth of investment into esports: US$2.5B over the four months of 2020 (May-Aug)
In-game purchases represent 78% of video game revenue (2020)
several esports organizations with a valuation of >Us$ 800m
Source: Baystreet, Canaccord Genuity, The Esports Observer, Forbes
ESPORTS is rapidly growing globally
Esports is a fast-growing industry, gaining larger audience among
both enthusiasts and occasional viewers. With its great revenue-
generating potential esports is expected to reach $1.6 bn in 2024
globally.
ESPORTS GLOBAL AUDIENCE, MLN VIEWERS GLOBAL ESPORTS MARKET REVENUE, $BN
700 2
600
11.1% CAGR
500 1.5
286
400
234 1
215
300 197
200
0.5
292
100 221 240
201
0 0
2019 2020 2021E 2024E 2019 2020 2021E 2024E
Occasional viewers eSports enthusiasts
Source: NewZoo estimates Source: NewZoo estimates
ESPORTS is rapidly growing globally
Asia-Pacific region is the dominant esports market, accounting for 49% of global esports revenue.
Sponsorship is expected to remain the major revenue source for the esports team, followed by Media Rights
and Publisher Fees.
Esports revenue per region Esports Revenue Streams – 2021 Forecast
700
4% 3% 641.0
600
19%
500
In US$ million
400
49%
300
192.6
200
126.6
25%
100 66.6
32.3 25.1
Asia-Pacific North America 0
Sponsorship Media Rights Publisher Fees Merchandise & Digital Streaming
Europe Latin America Tickets
Middle East and Africa
Source: NewZoo estimates
Latam gaming is poised for growth
In 2020, estimated gaming revenue in Latin America hit US$6 BN (10.3% YoY), with Mexico and Brazil
being the leaders in the region, similar to the 2019 numbers
Gaming Revenue LATAM (2020) US$ 6B Number of Players LATAM (2020) 266M
3% of Global Revenue 10% of Total Players
40% of LATAM population
Other Mexico
Chile 16%
5%
33% Top markets with the largest % of Console players (globally):
Colombia Mexico 52%
7%
Brazil 43%
Argentina
9%
Brazil Colombia 38%
30%
*Actual data for 2019
Source: Newzoo, Competitive Intelligence Group
Latam gaming is poised for growth
Latin America has the highest percentage of people who are using any device for gaming purposes,
leading in almost all categories among other geographical regions. Rising smartphone penetration rate
facilitates further engagement with gaming in LATAM.
Number of mobile internet users and smartphone engagement with gaming - % of people who are
penetration rate (2019-2025) using the following devices for gaming
450 424 82% 100%
409
395 80% 90% 86%
% of people who use devices for gaming
400 368
381
356 80%
Smartphone penetration rate, %
350
343 78% 80%
Number of users in millions
78% 68%
76% 70%
300 76%
74% 60%
250 74%
72% 50% 44% 46%
200 72%
71% 70% 40%
150 30%
69% 68%
100 66% 20%
50 64% 10%
0 62% 0%
2019 2020* 2021* 2022* 2023* 2024* 2025* PC/Laptop Smartphone Games console Any device
LATAM North America Europe MEA APAC
Source: Newzoo, GSMA Intelligence, StatistaLatam gaming is poised for growth
Esports engagement is relatively high compared to developed markets, such as the APAC region
Esports engagement by country among 16-24 males: % of internet users who have done the following in the last
China 63%
month:
Taiwan 51%
North
South Korea 43% APAC Europe LATAM MEA
America
Saudi Arabia 40%
Watched a live
Poland 40% 38% 27% 31% 30% 30%
gaming stream
South Africa 38%
Watched an
Brazil 37% esports 30% 14% 20% 14% 13%
Colombia 34% tournament
Spain 34% Broadcast a live
Germany 32% stream of your 11% 5% 7% 9% 5%
Mexico 31% gameplay
USA 29%
Canada 28%
Russia 22%
UAE 19%
Argentina 18%
Belgium 8%
Source: NewzooEsports teams UNIVERSE
Most professional Esports organizations are private with top teams valued at
US$400 million. Public companies are diverse: from Astralis Group (ASTGRP,
market cap of US$ 58M) to Enthusiast Gaming (EGLX, market cap of US$817M)
40.00
35.00
30.00
Super League
Gaming
(SLGG)
25.00
(US$ 148M)
P/S Multiple
100 Thieves
20.00 (US$ 190M) Enthusiast
G2 Esports Gaming
Gen G (US$ 175M) (TSX:EGLX)
Cloud9
15.00 Astralis Group (US$ 185M) (US$ 817M)
(US$ 350M)
(ASTGRP)
(US$ 58M) FaZe Clan
10.00 (US$ 305M)
Team Liquid
(US$ 310M)
5.00 NRG Esports TSM
T1 (US$ 155M) (US$ 410M)
(US$ 150M)
-
- 10.00 20.00 30.00 40.00 50.00 60.00 70.00
Revenue (in US millons)
Source: Forbes, BloombergGlobal brands are sponsoring esports
Esports ecosystem
SPONSORS
GAME PUBLISHERS PRO TEAMS
GAMES
PRO SPONSORS
PLAYERS
KOLS / COMPETITIONS /
STREAMERS EVENTS
SOCIAL MEDIA, STREAMING PLATFORMS & BROADCASTS, TV BROADCASTS, DIGITAL MEDIA, TRADITIONAL MEDIA
GAMING COMMUNITY / FANBASE
(PLAYERS & VIEWERS)WHAT is GARRA ESPORTS
Garra Esports is the newly established professional esports team
based in Mexico.
With passion in our veins, and an accomplished, talented foundation,
Garra Esports is ready to step up to the world stage to challenge the
best there is and truly represent Latin America in competitive gaming
and creation.
Garra also owns Effects or Films, a creative studio aimed at working
with Garra and external clients
15MANAGEMENT TEAM
JORGE RAMIRO MONROY MARCO ROQUE Roberto canovas
Chairman Executive Director Managing Director
– Founder and Managing Director of Emerging – Strategy games enthusiast, former rugby – Founder and CEO of Game Swap
Markets Capital Ltd (Hong Kong) player with multiple league titles and national Technologies (Mexico)
team caps
– CEO of Reyna Silver Corp. (Canada) – Previously served as General Director at
– Director at Emerging Markets Capital Ltd Electronic Arts Latin America
– Holds a Bachelor’s degree from the State
(Hong Kong)
University of New York, MBA degree from the – 10+years of experience in Latin American
Hong Kong University of Science and – CEO and Director of Cassiar Gold Corp Gaming industry
Technology (Canada)
– Holds an MBA degree from Melbourne
– 15+ years of international financial Business School
experience including capital markets, venture
capital and corporate advisory
– CFA charterholder, MBA degree from the
Hong Kong University of Science and
Technology and London Business SchoolMANAGEMENT TEAM
AVELINO RODRIQUEZ Cristina ramiro FRANZ ZAVALA
Senior Advisor Production and Creative Director
Management
– Founder and Managing Partner of The Lift – Co-Director and Co-Founder at Effects or – Co-Director and Co-Founder at Effects or
Mexico (Mexico) Films (Mexico) Films (Mexico)
– Co-founder of Filmadora Nacional – 20+ years of experience in film industry – 20+ years of experience in film industry
(production and postproduction) (production and postproduction)
– 20+years of experience in filmed
entertainment production, co-productions, – Specialized in managing teams, creative – Specialized in creative branded content and
advertising, branded content and TV producer, creative director. brand content development.
developmentMANAGEMENT TEAM
Michael wood EDUARDO M. dugelby JORGE LIZARRAGA
Chief Financial Officer Postproduction Senior Advisor
– Director at Emerging Markets Capital (Hong – Postproduction at Effects or Films (Mexico) – CEO at Gaming Partners (Mexico) and CEO
Kong) and Co-founding Partner at Oelli (Mexico)
– Has an extensive experience in visual effects,
– CFO at Reyna Silver Corp. (Canada), motion graphics, 3D and 2D animation – Expertise in Latin American videogame
Director of Cassiar Gold Corp. (Canada) market (Mexico and Brazil in particular)
– Awarded with Autodesk Maya Certification
– Has worked on a number of M&A deals and after completion of Digital Character – 20 years+ of experience in video/film
capital raises in mining and real estate Animation program at Vancouver Film postproduction, VFX and animation
School
– Holds an MBA degree from the Hong Kong – Has successfully developed and managed 2
University of Science and Technology and startups
BSc degree in Economics from Cardiff
UniversityCompany’s vision is to become specialists in all aspects on
esports, setting the standard for Latin America to follow and to be
COMPANY VISION at the center of esports community and to nurture talents within
Latin America, building champions, entertainment and innovation.
19LEAGUE OF LEGENDS League of Legends is a game that has redefined the MOBA genre and brought esports to the forefront of mainstream entertainment. It’s ability to entertain and wow an audience is unparalleled and has created a community that is supportive and loving with millions of dedicated fans around the world. With its unprecedented success, League of Legends remains the most popular videogame with more than 128 million watching hours on Twitch streaming platform as of July 2020. League of Legends is a game which requires impeccable teamwork, relentless dedication and passion in order to compete at the highest level. At Garra Esports those are the standards that we strive for each and every day. Whether it is developing our coaching framework, adding physical workouts to the player’s routines, we believe we have the staff, philosophy, drive and experience to really be able to develop a team that can represent our region proudly at MSI and Worlds. Large audience across LatAm: 29 million viewers 20
LIGA LATINOAMÉRICA – LATIN AMERICA LEAGUE (LLA) Garra Esports is aiming to compete under Latin America League with the teams from Mexico, Chile, Argentina, Costa Rica and Puerto Rico. To qualify for LLA, Garra will start its way from the National Circuit (Tier 3) and Honor League (Tier 2) up to LLA, Tier 1, professional league. We don’t believe that the best players will necessarily need to come out of the traditional powerhouse countries. We want to be in the LLA because we believe that the talent can come from any country within the Latin American region. We believe in the region’s strength and at Garra Esports we believe in our ability to cultivate and bring that talent to the global stage.
Free Fire Free Fire has succeeded a game in Battle Royale genre for mobile devices and shown huge appetite to continue breaking ground and records. The game was released in 2017 and has gained its popularity worldwide with 80 million daily active users. It is also the most played mobile game in Latin America. We believe that the huge uptake on mobile gaming is posed, not only to continue, but accelerate, and will continue to gain adepts based on its access and flexibility.
FREE FIRE LEAGUE LATAM Garra Esports is aiming to compete under the Free Fire League in Latin America with the other teams from the region. Similar to the League of Legends strategy, Garra will start its path from the Tier 3 tournaments organized at the regional level by Garen (Free Fire League Classifier), Booyah! platform (Booyah! Open) and Leagues of Professional Videogames in collaboration with Garena (National Tournaments) to be able to be qualified to the Professional League. We believe that our talents and strong teamwork will make it possible for Garra to compete at the top regional level.
Other game titles
FIFA video games, developed and Fortnite is a Battle Royale game by Epic Valorant is a 5v5 character based
released by Electronic Arts studio, Games. The game was released in 2017 tactical shooter game developed by
are now available through multiple and has gained its popularity worldwide Riot Games and launched in June
consoles (PlayStation, Xbox). with 350 million users worldwide, 63% of 2020, reaching 34 million hours
them are aged 18-24. viewed in a single day and 1.7
FIFA 2020 alone has more than 37
million concurrent viewers.
million PS4 players and 9.4 million Fortnite, being the preferred game
Xbox players as of November 2020. across influencer base in Latin America, Despite its recent release, Valorant is
has the largest videogame audience for expected to stand at the top with
Their biggest FIFA eWorld Cup
non-competitive viewership in the region. credibility of Riot Games and
Series has reached 66 million peak
support of worldwide brands.
viewers in 2020. It has the largest esports prize tool
(US$30M) at the 2019 World Cup.
Single biggest selling game in Latin
America.Sporting mentality
Garra Esports will use traditional sporting coaching, scouting and
training methodologies to create a systemic way to approach
performance and winning.
MIND BODY SPIRIT
At Garra Esports we believe that success in We adopt traditional sporting In order to best maximize each player’s
gaming comes from within. A clear and methodologies and apply them to our potential we will offer psychology sessions
focused mind allows a player to deal with the coaching framework with players required to to develop a mental performance
pressure and stress of playing at the highest to train physically in addition to their in- framework and a spirt for winning.
levels of competition. game training.While performance and winning is important within
the esports space, building a dedicated, loyal and
engaged fan base is just as important. The best
way to achieve this is through the development of a
strong brand and identity.
Garra Esports has placed a strong emphasis on the
development of this brand whether it be through Branding & content
content, lifestyle elements and/or collaborations.
We intent to further develop this through the our
creative studio which will support our teams on all
creative aspects going forward.
26Garra Esports owns Effects or Films, a creative studio
with the goal of creating a connection between
branding and audiences within the esports space. In
time, we hope to break down the cognitive
dissonance and general perception of gamers;
creating an image that fans and people can be
inspired by.
STUDIO Effects or Films studio is based in Mexico and
services the surrounding Latin American region as
well. Our short-term strategy is to focus on
producing in-house content with players under
Garra Esports then eventually moving onto
servicing non endemic brands and clients
interested in entering the esports space.
Being equipped with a creative studio, Garra has
great collaboration opportunities with the
streaming platforms such as Booyah! (owned by
Garena) for the esports content creation.
27studio
With 10+ years of experience, Effects or Films is a well-established studio that is highly skilled in production,
postproduction, VFX, 3D animation and other related services.
Selected Clients:
Click on the picture to watch the videoThere is more to esports than sitting behind a
computer. There is the mental resilience, the
physical tension and threat of a relentless opponent
that bears down on a player as they deal with the
bright lights and expectations of a raucous crowd.
The world needs to see the real story. This series
profiles Garra Esports’ most promising talents,
focusing on their distinct upbringings, unique EXTRA LIFE
individual talents and personal struggles. The aim is
to depict truthfully the world that surrounds this
phenomenon and how the rise of esports has
allowed gaming to be a more mainstream and
acceptable hobby.
29CONTACT
GARRA ESPORTS CORP.
ADDRESS: PO BOX 49130, 2900-595 BURRARD STREET, VANCOUVER BC V7X 1J5, CANADA
Email: info@garraesports.com
WEBSITE: www.garRaesports.comYou can also read
