Cloud9 Raises $50M to Open LA Esports Training Facility
The United States esports organization Cloud9 announced plans to build a world-class training facility and organization hub in Los Angeles. The facility was made possible by Cloud9's last funding round led by growth investment firm Valor Equity Partners for $50 million.
According to Forbes, Valor Equity Partners will also be taking an active role in Cloud9 esports. Part of the funding agreement saw Antonio Gracias, a founding and managing partner in Valor Equity Partners, appointed to the board of Cloud9.
Cloud9 plans to use the money for the construction of the new facility. The 30,000-square-foot space is expected to be complete sometime in 2019. It will be used for skill development in future generations of gamers as well as fan outreach opportunities.
The organization was founded by Jack and Paullie Etienne in 2013. It all began when Jack purchased the League of Legends roster from former organization Quantic Gaming. For most of Cloud9's history, it was a small family-run business. It was not until 2017 that Cloud9 suddenly shot into the spotlight.
In the Fall of 2017, the winning organization completed a Series A funding round for $20 million. That round was co-led by Founders Fund, which supports companies that already have strong leadership.
The funding propelled Cloud9 into a winning 2018. Its Counter-Strike: Global Offensive team became the first squad in North America to win a major tournament, the Eleague Major: Boston 2018. The tournament event set a new record of 1.1 million concurrent viewers on Twitch.