Guild Esports shares soar 58.97% to 3.1p on 3-year sponsorship deal with Sky
Blue Star's Guild Esports announced this morning the signing of a landmark 3-year global sponsorship agreement with Sky UK. The deal is Guild's largest to date, and goes into effect today, 26 September 2022.
The contract is one of the largest ever esports sponsorships signed in Europe, and will see Sky become the Official Premier Partner of Guild Esports. It is also Sky's first esports deal.
As part of the partnership, Sky gains exclusive naming rights to Guild's 9,831 sq ft head office in London's Shoreditch. In addition, Sky has been appointed Guild's Official HQ Partner, Official Wi-Fi and Broadband partner, and the Official Network Provider. Sky's branding will appear on Guild's team jerseys and across the interior and exterior of the HQ, now named the Sky Guild Gaming Centre.
Sky's fibre broadband will also drive Guild's internet and telecom links across the organisation.
Guild said the agreement would allow it to launch an all-female Rocket League team, building on the success of its all-female Valorant team, Valorant X, signed in September 2021.
Blue Star shares also climbed 7% on the announcement. Blue Star a technology investment company focused on esports, blockchain, and payments, that has a 5.95% interest in Guild as of 30 June 2022.
Biome Technologies shares plunge another 31.85% to 46p on revenue warning for FY22 and FY23
Biome Technologies reported on Thursday a pretax loss of £667K in 1H22, narrowed some from £790K in 1H21. Revenues declined 7.7% to £2.4m. New customers of the bioplastics division, acquired in the past few years, grew three-fold in terms of revenue contribution in 1H, now accounting for 32% of revenues.
What tanked Biome shares last week was the company's updated outlook for FY22 and FY23. Biome believes revenues in both years would be "substantially below current market expectations", mostly due to ongoing supply challenges and uncertainty around demand.
Biome said anticipated 2H22 revenues from its bioplastics division's supply of biodegradable coffee filter material to a large US customer were now expected to be "significantly lower than previously anticipated" due to "various engineering matters within the customer's facilities".
Biome said it is taking a "very cautious approach" and considers that further delays and a scaling back of volumes are "inevitable" in the shorter term.
Paul Mines, CEO, added:
"Growth has been limited in both divisions in the first half by ongoing supply challenges. The trading environment for Biome Bioplastics is becoming more difficult with a number of factors impacting our revenue expectations for this year and 2023. We continue to work with our customers on new products that we believe will unlock more value and I am particularly encouraged by the diversification of our customer base and applications in both divisions."
Biome shares plunged 52.94% on the announcement last Thursday and another 31.85% today. Shares are now down 72% since the announcement.
Egdon Resources and iGas Energy shares fall 6.41% to 7.3p and 14.18% to 70.2p respectively on volatility after UK's lifting of fracking ban
Last Thursday, the UK government officially lifted its ban on fracking in England. The government cited Russia's war on Ukraine and its "weaponization of energy" as justification for exploring all available means of achieving energy security, adding that strengthening the country's energy supply was an "absolute priority".
The moratorium on fracking (hydraulic fracturing) had been in place since 2019 amid concerns that the practice set off minor earthquakes and conflicted with the UK's 2050 net zero goal.
Shares in oil and gas companies rose on the news. Egdon Resources and iGas Energy shares rose substantially as they are heavily invested in shale gas. Today, both companies corrected down 6.41% and 14.18% respectively. Egdon remains up 9% from its pre-announcement price while iGas is now down 5.9% from its pre-announcement price.