(Reuters) – Shares in David Beckham-backed Guild Esports surged greater than 54% in early buying and selling on Monday, after the gaming agency mentioned it’s planning to conform to a takeover provide from California-based funding administration firm DCB Sports activities.

The monetary particulars of the transaction weren’t disclosed by Guild Esports, which final week mentioned it was “actively exploring” a spread of choices to permit it to fulfill its short-term liabilities.

Shares of the gaming agency, which debuted in late 2020 with a market capitalisation of 41.2 million kilos ($52.6 million), have slumped about 99% since then.

“Should the transaction complete, DCB Sports will assume and run the Guild brand, backstop future working capital requirements for the private business, provide ongoing capital sufficient to allow it to operate on a stable financial platform,” the London-listed firm mentioned in a press release.

The potential transaction contains all its belongings and assumption of liabilities, it mentioned, including that this may be DCB Sports activities’ first funding in esports.

Former England soccer captain Beckham is a founding shareholder and presently the sixth-largest in Guild with a 3.05% stake, in accordance with LSEG knowledge.

($1 = 0.7828 kilos)