Catena Media has announced the divestment of its Esports division as part of a strategic move to sharpen its focus on other core business areas. The decision reflects the company’s intent to reallocate resources and streamline operations, aiming to enhance growth and profitability across its remaining sectors. This shift marks a significant realignment in Catena Media’s portfolio amidst a dynamic market environment
Catena Media, a leading name in affiliate marketing, has officially exited the esports arena by selling off its esports assets. Company representatives confirmed the transaction, citing a strategic shift to concentrate on higher-margin offerings as the driving force behind this decision.
Catena Media Offloads Esports Ventures to an Undisclosed Buyer
The company notified its members via email that its key esports properties-esports.net and esportsbet.com-have been sold to an undisclosed third party. Manuel Stan, Catena Media’s CEO, emphasized that this move aligns with the company’s strategic focus: “doing fewer things better.”
The divestiture not only allows Catena Media to zero in on core business priorities but also injects much-needed liquidity to support other growth initiatives.
Stan confirmed that the sale was effective immediately, though the identity of the buyer remains confidential as of now.
Staff Reductions Follow Sale of Esports Division
In his communication, Stan extended heartfelt congratulations to the esports.net and esportsbet.com teams for delivering market-leading products enjoyed by millions over the years. He acknowledged that the sale underscores both the strength of the brands and the dedication of the staff.
However, the transaction also led to redundancies involving a combination of full-time employees, freelancers, and contributors. This included Gianfranco Capozzi, the former GM of esports and emerging markets in the Asia Pacific region.
Reflecting on his experience in a LinkedIn post, Capozzi described his tenure at Catena Media as a “wild, challenging, and rewarding ride.”
“While I’m grateful for everything I’ve learned, it is also sad to see this chapter coming to an end. But change brings new energy, and for now, I’m taking a short break to decompress, reflect, and prepare for what’s next.”
Gianfranco Capozzi
Capozzi also expressed his willingness to assist former colleagues from Catena Media’s esports division in securing new opportunities.
Catena Media’s Ongoing Evolution
This divestment follows a major workforce reduction announced just weeks earlier, when Catena Media cut 25% of its staff and suspended interest payments amid financial pressures.
These moves come after the company’s earlier release of its 2024 financial results, which highlighted several operational challenges. While management framed 2024 as a pivotal year of strategic transformation, the recent sale of esports assets and preceding layoffs indicate that Catena Media’s restructuring journey is far from over.
