Catena Media exits esports as cost cuts and strategy shift deepen
Catena Media, a major affiliate marketing specialist, has divested its esports assets, marking the end of its involvement in the competitive gaming space. The decision was communicated to staff via an internal email, and aligns with the company’s broader strategy to shift focus toward higher-margin products and more sustainable growth areas.
As part of the transaction, Catena Media has sold its esports.net and esportsbet.com brands. Although the buyer has not been publicly named, and the sale amount remains undisclosed.
Manuel Stan, CEO of Catena Media, said the move aligns with the company’s strategic shift, describing it as “in alignment with our strategy to focus on doing fewer things better.” The transaction took effect immediately and is understood to support the company’s ongoing financial restructuring.
Farewell to a ‘segment-leading’ product
In his message to staff, Stan praised the work of the teams behind the two esports platforms, calling them “segment-leading products that millions of customers have enjoyed throughout the years.” He said the sale “attests to the strength of the two esports brands and the team’s hard work.”
However, the move also led to several layoffs across the division, impacting a mix of full-time employees, freelancers and contributors. Among those affected was Gianfranco Capozzi, general manager for esports and emerging markets in the Asia-Pacific region.
Capozzi shared his thoughts on LinkedIn, describing his time at Catena as a “wild, challenging, and rewarding ride.” He added, “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.”
The company’s transformation continues
The esports sale is just the latest chapter in a broader shake-up. In mid-May, Catena Media announced that it had reduced its global workforce by 25 percent and halted interest payments. Both moves were attributed to financial pressures and a need to restructure the business for long-term resilience.
These cost-saving steps followed disappointing results in the company’s 2024 financial report, which highlighted a range of setbacks. While leadership described 2024 as a year of strategic transformation, recent events suggest that transformation is still very much in progress.
With the esports sites now off its hands, Catena Media seems to be narrowing its focus and pulling back from some of the riskier bets it’s made in the past. Whether this new direction will improve things isn’t clear yet. But for the moment, at least, the company seems to be going for simplicity over aggressive growth.
