Update: A prior version of this article incorrectly stated that Hersch Interactive owned the Houston Astros.
Fnatic announced on its website Monday that it has received a $7 million financing round with a board of investors. The board includes James "Jim" Pallotta's Raptor Group Holdings, a group with ownership stakes in the NBA's Boston Celtics and the Italian Serie A's AS Roma. Additionally, Hersch Interactive is also involved in the funding round.
"Fnatic is at the forefront of advancing esports, constantly deploying innovative forms of engagement and monetization that we believe will transform the overall sports and entertainment industry over time," said Fnatic Director and Raptor Group Investment Officer Chris Pallotta.
The organization has disclosed that it aims to pour its resources into developing its esports infrastructure, bolstering its squads with support staff such as coaches and sports psychologists, as well as developing academy teams, as has been the case in League of Legends in the 2017 spring season. The organization also seeks to 'continue advancing esports into mainstream culture' through its esports peripheral (through Fnatic Gear) and apparel lines.
"There has been strong growth in esports, which has accelerated in recent years, but the major shift has been in the acceptance and inclusion by sports franchises, media companies and high profile individuals who have entered and advanced the industry rapidly." said Sam Mathews, Founder of Fnatic, on Fnatic's website. "We're incredibly excited by the opportunities available within esports, and having world class investors and advisors only enhances our ability to address these opportunities and continue to innovate."
Fnatic's esports history runs as far as 2004 and is deeply rooted in Counter-Strike, where it has established itself as one of the top organizations, a matter that has endured to this day. The organization has also made its mark in League of Legends, Dota 2 and Overwatch, among other esports titles.