Rix.GG took to their Twitter page to make the announcement, thanking the players, staff, creators, and fans for their contributions to the organization’s growth in the past years.

“As of today Rix will be ceasing operations,” the franchise’s tweet read.

“To every player, staff member and creator that��s been with us, thank you for making this organisation what it was.

“To everyone that supported us through thick and thin, thank you.

“Thank you for everything. #GatherTheStorm.”

Rix.GG launched in July 2020 as a part of X1 Esports’ expansion into the European market. The team quickly gained a following and success in a variety of competitions, including the 2022 Icons Global Championship (Wild Rift) and the RLCS Season X Winter EU Major (Rocket League).

However, despite their initial success, X1 Esports have decided to close the operations of Rix.GG due to financial constraints and the impact of the COVID-19 pandemic on the esports industry.

Rix’s Chief Gaming Officer, Zack “cZer” Chandler, spoke about the unfortunate development.

��Rix was built on the fundamentals of trying to do things right in this industry, and making sure people were valued and cared after,” cZer said.

“I personally want to thank every single player that��s walked through these doors for the time they spent with us.

��Having the ability to work with talent on this scale made me truly grateful for the position I��m in. I want to thank every content creator that flew our banner and showed their love for the org. And finally thanking every staff member that gave their blood sweat and tears for this org.

��We are a family of people that cared about inclusion, fairness and respect. And that will never change.��

The closure of Rix.GG marks a significant loss for the UK esports scene. They were one of the few British esports teams to have achieved success at international level.

X1 Esports have assured fans that they will continue to invest in the esports industry and remain committed to their Rocket League news website, Shift Media, and talent management company, Tyrus LLC, stating that they will “no longer be in the business of competitive playing of video games by teams for cash prizes”.

X1 Esports formerly fielded rosters Rocket League, Fortnite, Valorant, and the League of Legends mobile game Wild Rift. Their decision to shut down is a result of the current global economic uncertainty and the rising cost of living, which has negatively impacted the organization’s revenues.

This announcement follows closely on the heels of German esports organization Cowana Gaming’s decision to shut down operations. According to multiple reports, Rix and Cowana Gaming may be the first of several teams to face closure in the coming months.

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Jalen Jones, a co-founder of ShiftRLE, also shared insight in a press statement on behalf of the organization.

“We are thrilled to become a part of the X1 family moving forward as they see the potential we have in the growth of Rocket League as an Esport,”?said Jones.

“With X1 behind us, we plan to take Shift to the next level with our ultimate goal being to make Shift into a hub where Rocket League fans can get the latest highlights and statistics, and engage in interactive activities such as Pick?��Ems, Fantasy, and eventually tournaments of our own.

“We want Shift to act as a bridge between the casual and hardcore Rocket League players with engaging content that appeals to multiple audiences.”

All of ShiftRLE will be acquired by X1 Esports in exchange for US $50,000 (��41,500) in cash, approximately $117,000 (��97,000) in common shares allocated to each of ShiftRLE’s four valuable staff, and a 7% cut of Shift’s gross sales for the first 36 months after the deal’s completion. The maximum payment for the 7% gross revenue share in the agreement is $250,000 (��208,000), which can be either in cash or common shares.

READ: X1 Esports to acquire Tyrus Talent Services in $350k deal

As part of the transaction, X1 has agreed to recruit each of ShiftRLE’s four essential workers in order to maintain the operation of the outlet. Jones, who was also responsible for founding ShiftRLE, has agreed to take on the role of Operations Manager at ShiftRLE. Also, in addition to being a co-founder of ShiftRLE, Achilleas Vaios Fotiou will now serve as the Investigative Lead for the organization. In his new position as Digital Content Lead, Martin Faltus will be assisted by Louis Sliwa, who will take on the dual responsibilities of Designer and Community Manager.

The transaction, which takes the form of an Asset Purchase Agreement (APA), was announced by X1 Esports as something that would assist the company to execute on its primary strategic goals of expanding its esports and video game inventory. In addition to this, the agreement will work toward enhancing X1’s standing in the video game media industry.

“Adding ShiftRLE to the X1 portfolio will be an excellent addition,”?said Mark Elfenbein, CEO of X1.

“This will not only help us to deliver on our core strategic priorities of building a diverse video game ecosystem and providing global brands access to a GenZ audience, but will strengthen X1��s position in video games media.”

Due to the fact that X1 is a publicly traded company that is listed on the Canadian Securities Exchange, the transaction is still subject to criteria that must be met before it can be finalized. One of these conditions requires X1 to sign consulting agreements with four key Shift executives. It is anticipated that the transaction will be finalized within 10 days following the completion of the agreement.

An otherwise challenging period for indigenous esports news publications has taken a turn for the better with the purchase of the company. Both Inven Global and Upcomer let go of the majority of their writing staff earlier this year, with the former company closing its editorial department in July and the latter doing so in March. In February, Counter Strike: Global Offensive publication Rush B Media also ceased operations.

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The merger will provide Tyrus the opportunity to collaborate more closely with influencers and bring its service to the forefront of Gen Z audiences. X1 will need to pay a total of US$350,000 (��291,000) in cash and common shares to complete the acquisition.

“We��re excited to join the X1 family,” said Amanda Solomon, CEO of Tyrus.

“Our main focus with Tyrus is to be an industry disrupter by offering white glove services to our talent and diverse and inclusive roster of highly talented influencers who are enabling global brands to access and engage motivated Gen Z audiences.

“I��m supremely confident that joining X1 will take us to the next level and help us become an increasingly dominant player in this space.”

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Tyrus is a well-established company that focuses on content creators, gamers, streamers, and influencers in the digital space. It collaborates with content creators in the gaming and lifestyle verticals to provide them with paid opportunities in their respective fields.

Tyrus’s roster includes over 50 creators. The company provides services in the areas of platform management, model management, social media management, video editing, and editing of short-form content, which enables content producers to devote more of their time and energy to producing new content.

“The Tyrus platform expertly bridges the gap between international brands and the gaming ecosystem,”?said Mark Elfenbein, CEO of X1.

“The addition of the Company to our portfolio, will help to establish X1 as an advertising sales organization with access to some of the most sought-after content creators in the video games category.”

Since 2017, Tyrus has formed partnerships with content creators in order to provide them with thorough administration of their YouTube, TikTok, Twitch, and other social media channels, as well as consulting on personal brand growth plans and management of partnership relationships.

On the other hand, in the field of esports operating companies, X1 Esports is a relatively new brand. The Canadian company owns the esports organization RixGG, which has its headquarters in the United Kingdom and participates in video games such as VALORANT, Rocket League, Fortnite, and League of Legends: Wild Rift.

RixGG had a lot of success in Wild Rift in 2022, as seen by the squad’s second-place performance at the EMEA Championship 2022 Season 1. The team came in 17th place at the Wild Rift Icons Global Championship that was held this year.

According to reports, the purchase price will be paid in instalments. There will be cash payments totaling US$150,000 that are due within sixty days of the closure, as well as the issue of 555,555 fully paid common shares in the capital of the company at a price of $0.45 per share. If Tyrus’s revenue for its first full year is greater than $1,750,000, the company has the choice of paying the bonus in the form of either cash or common shares.

The common shares that are included in the purchase price will be subject to a statutory wait period that will last four months and one day from the issue date. Additionally, they will come with a contractual resale constraint that will result in 25% of common shares being released 12 months after the deadline, and another 25% being released at six-month intervals afterward.

This is not the first time this year that an esports company has bought a talent management firm. In April of 2022, the North American esports organization XSET purchased the American talent management firm Astoic Management.? ?

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