RTE announces merger with Galaxy Racer

New holding company to be branded ‘Celestial’ with a focus on creating a media and sports conglomerate, initially targeted at the MENA region and the Indian sub-continent

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By Aliza Rizvi

Published: Thu 25 May 2023, 5:59 PM

MSM Corporation International Limited ('MSM' or the 'Company') is pleased to announce the acquisition by its wholly owned subsidiary, Riva Technology and Entertainment Limited (RTE), of the remaining securities it does not already own in Galaxy Racer Holdings Limited (GXR), an eSports, content creators, music, and sports powerhouse (the 'Transaction'). This strategic union marks a pivotal step for both companies as they seek to combine their strengths and resources to drive the success of Celestial, a newly incorporated holding company with an ambitious initiative aimed at establishing a dominant media and sports conglomerate, initially focused on the MENA region and Indian sub-continent.

Founded by Paul Roy in 2019, GXR has emerged as a cross-media business, boasting a strong presence across North America, MENA, Southeast Asia, South Asia, and Europe. Notably, GXR recently unveiled a groundbreaking joint venture with LaLiga, set to revolutionise the sports media rights industry within the MENA region and Indian sub-continent.

Under the terms of the transaction, RTE will acquire the remaining securities of GXR that it does not already own, consolidating their expertise and resources to unlock untapped synergies, boost sales, and enhance audience engagement, with a particular emphasis on the burgeoning young consumer market in the MENA region and Indian sub-continent.

To fuel further growth and expansion, the newly enlarged MSM/RTE group of companies plans to initiate a substantial fundraising round to attract global investors who recognise the immense potential within the gaming, sports and creator economy sectors. While MSM actively contemplates a potential listing on a recognised securities exchange, it is important to note that this intention remains subject to various external factors beyond the company's control.

Antoine Massad, MSM chairman, highlights the significance of this merger, stating, "This transaction marks a momentous milestone in our journey. Together, we are building a closed-loop ecosystem that encompasses gaming, IP, consumer product development, licensing, sports collectibles, sports content and distribution, eSports, and the creator economy. This strategic move perfectly aligns with our Celestial investment strategy, positioning ourselves to capitalise on the remarkable growth projected in gaming and eSports across the MENA region and Indian sub-continent. We are excited to tap into the immense potential of these regions and actively contribute to their thriving gaming industry."

Paul Roy, founder and CEO of GXR and founder, managing director and CEO of MSM/RTE, shares his insights for the merger, stating, "We are pleased to announce the Transaction, a significant landmark moment resulting from meticulous planning and strategic efforts. The combination of GXR’s product and services fueled by a vast audience alongside RTE’s portfolio of successful companies that share the same vision and values is a mix that has already proven successful. As Celestial takes shape, both companies are primed to leverage their collective strengths, capitalise on emerging opportunities, and shape the future of the media and sports industry. The rebranded holding company shall set its sights on spearheading innovation, engaging audiences, and leaving an indelible mark on the rapidly evolving landscape."

— Aliza Rizvi is an independent business journalist.

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