ELEVATOR PITCH

BACKGROUND

The international esports entertainment industry, valued at (USD 1.22 billion in 2023 with a CAGR of 6.57%*), has been missing a dedicated ecosystem for esports auto racing, as well as a promotional organisation to operate it.

To harness the existing annual business potential of approximately 300 million euros in esports auto racing an organisation like ISR and the ecosystem it has built are necessary.

ISR, as the sole European promoter in esports auto racing, has recognized the market opportunity and growth potential described above.

 

COMPANY

Intercontinental Sustainable Racing Ltd has over a decade of experience in developing and producing services and entertainment programs through auto racing games for both B2B and B2C audiences.

Our team has expertise in developing and executing TV entertainment services and sports on Finnish and international TV channels, covering esports auto racing, mobile games, TV chat, and other multi-channel services. This includes a diverse range of content production formats and services published across various platforms.

The operational team is highly motivated, experienced, and has achieved international recognition. The company’s management team consists of its founders and owners.

An international organisation has been established around the company to operate the ecosystem.

“eRACING SUPER LEAGUE IS AN AMBITIOUS PROJECT TO TURN VIRTUAL RACING INTO ENTERTAINMENT AND RESPECTED SPORT.”

OPPORTUNITY

Currently, there are no direct competitors, either globally or in Europe, that fully leverage the opportunities in esports auto racing. Existing businesses and operators focus on serving players, rather than exploiting the wide audience of motorsport fans and delivering targeted entertainment. As a result, the industry’s ecosystem is completely fragmented, leaving its potential untapped.

Simultaneously, there is a growing demand in Asia and particularly in the Gulf Cooperation Council (GCC) region for creating international-level entertainment services, including esports auto racing.

Through Saudi Arabia and the UAE, new international markets are being developed with massive investments and global visions. For example, Saudi Arabia’s PIF (Public Investment Fund) has invested over USD 4 billion in the gaming industry in the last 18 months and plans to invest USD 38 billion in sports, esports, and entertainment by 2030.

ISR’s valuation increase is justified by industry transactions, such as PIF’s purchase of the esports event organiser company ESL for USD 1.5 billion in 2022, a significant increase from its sale for USD 86 million a few years earlier. ISR’s valuation increase is expected within 3-5 years.

 

STRATEGY

ISR’s strategy spans five years. In Q2 2024, business operations will launch in the GCC and EU regions through locally established operational companies. By the end of 2024, both key market areas will generate cash flow.

The Helsinki headquarters will license the necessary rights for operation and repatriate a share of all business to Finland. The Helsinki company owns all commercial rights. All key services, partnerships, and technical capabilities are mobilised for the launch.

 

Main Revenue Streams:

    • Local and international distribution rights for ISR-produced entertainment and competition programs
    • Local and international sponsors and advertising revenue
    • Tradable franchise agreements. Annual participation fees from cities and participating teams
    • Ticket sales and merchandise

COMPANY STRENGTHS & COMPETITIVE ADVANTAGE

ISR’s competitive advantages are based on strong global market intelligence, understanding industry pain points, and the company’s proprietary global MBA research, which addresses why esports motorsport has not achieved the massive popularity of other esports disciplines. The research has already proven the validity of its conclusions over the past few years.

The most intriguing features of traditional motorsports and other sports can be combined in the virtual world to create fresh and exciting content. ISR is already producing virtual race tracks in new urban environments, with selected cities and commercial partners leveraging ISR’s opportunities.

A global audience can enjoy motorsport entertainment that is innovative, eventful, environmentally friendly, and positive in its values. For competitors, this provides a genuine athletic challenge with physical demands. ISR introduces new virtual worlds to the market, future superstars, and a wealth of captivating stories.

The end product is an annual eRacing Super League urban tour at a world championship level, similar to traditional sports and entertainment products. All necessary elements, their producers, and implementers are in place and ready.

    INVESTMENT OPPORTUNITY

    The company holds its own shares, which it primarily offers to new investors for subscription or alternatively, through convertible loans.

    The new capital sought will be allocated to the following objectives:

    1. Finalise the interfaces for production and payment services
    2. Accelerate sales and partnerships in opened market areas.

      The company’s value is believed to double in the next 12 months based on the international TV, distribution and marketing agreements to be concluded.

      We hope this sparks your interest. This is an opportunity to join and accelerate a new international promotion company with vast potential in the rapidly growing eSports markets.

       

      We are happy to answer any questions and provide further information. Best regards, 

      Valtteri Leitola

      Executive Chairman, Founder

      +358 45 1506869, valtteri@eracingsl.com