FaZe Clan has entered into a definitive merger agreement to combine with B. Riley Principal 150 Merger Corp. (BRPM), a special purpose acquisition company sponsored by an affiliate of B. Riley Financial. The proposed business combination transaction (the “Business Combination”) implies an equity value of approximately one billion dollars for the combined company inclusive of nearly $275 million of cash (assuming no redemptions). Through the proposed business combination, FaZe Clan is positioned to become one of the only digitally native, youth-focused lifestyle and media platforms publicly traded on a U.S. national exchange.
Upon completion of the proposed Business Combination, BRPM will change its name to “FaZe Holdings” The combined company’s common stock is expected to be listed on NASDAQ under the new ticker symbol “FAZE.”
Estimated gross transaction proceeds total $291 million, including $173 million in cash from BRPM’s IPO proceeds held in trust (assuming no redemptions), and $118 million from committed PIPE investments. Net proceeds from the transaction, which will include cash in trust net of any redemptions and PIPE proceeds net of transaction-related costs, will be used to fund organic and inorganic growth as the Company expands its digitally native global multi-platform presence across content, gaming, entertainment, consumer products and the metaverse.
