A 4% drop in company revenue has resulted in ASX-listed company, Here, There and Everywhere (HT&E), closing its sporting arm Gfinity Esports Australia resulting in $5.3m loss on the company’s net investments.
Launched in 2017, Gfinity Esports Australia will be shut down at the end of 219 due to a lack of “sustainable, positive earnings” from the investment.
Hamish McLennan, HT&E chair, says the company will have a greater focus on its audio strategy.
“We are assessing our existing investments to determine how they can better integrate into audio, and if not, what alternatives are available to deliver better shareholder value,” McLennan says.
“As a result, we have decided to close Gfinity Esports Australia in which HT&E holds a 35% effective interest.
“While the business has achieved some significant and world-leading results, the economics of esports in the Australian market are yet to deliver sustainable, positive earnings.
“We will also consider investment opportunities that are aligned with our overall audio strategy.”