CORSAIR Further Diversifies Portfolio, Agrees to Acquire SCUF Gaming

  • Gaming peripherals and PC components manufacturer CORSAIR agreed to acquire custom controller manufacturer SCUF Gaming and its patent portfolio.
  • CORSAIR planned to raise a $115M USD add-on, new equity from EagleTree Capital, and rollover equity to fund the acquisition, repay $36M outstanding debt, and pay related fees and expenses.
  • The company generated approximately $1.15B in the last twelve months for the period ended on Sept. 30.

Yesterday, gaming peripherals and PC components manufacturer CORSAIR announced that it has agreed to acquire custom controller manufacturer SCUF Gaming and its patent portfolio. The transaction is expected to complete by the end of December 2019.

A rating by Moody’s Investor Service, published on Dec. 3, revealed that CORSAIR planned to raise a $115M add-on, new equity from the sponsor (EagleTree Capital), and rollover equity to fund an acquisition of a console peripheral company, repay $36M outstanding on a revolver and pay related fees and expenses with the proceeds.

SCUF Gaming, which was launched in 2011, manufactures modular controllers, which players can customize to their individual preferences. SCUF has an expansive IP portfolio and several partnerships within the esports space, including being the official controller partner of many gaming leagues, including the NBA 2K League and eMLS, as well as being a licensed partner of Activision for Call of Duty.

“We are thrilled to greatly expand our portfolio of industry-leading peripherals and enter the gaming controller space to help gamers play at their best,” said Andy Paul, founder and CEO of CORSAIR, in a release. “SCUF leads the market for performance controllers and are a key ingredient to the success of countless esports professionals. SCUF will make an excellent and winning addition to the vast lineup of award-winning CORSAIR and Elgato products.”

The acquisition of SCUF will be CORSAIR’s third acquisition since EagleTree Capital bought a majority share in the company for $525M in 2017, highlighting the company’s effort to diversify its product and brand portfolio within the market of enthusiast gaming. Earlier this year in July, CORSAIR acquired custom PC maker ORIGIN. In 2018, the company acquired German tech company Elgato Systems’ gaming business, Elgato Gaming.

SCUF Gaming will remain a separate brand within the CORSAIR family, which according to Moody’s, generated approximately $1.15B in the last twelve months for the period ended on Sept. 30., and will continue to operate from its HQ in Atlanta, as well as regional offices.

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