Enthusiast Gaming to Merge with J55 Capital Corp and Aquilini GameCo
Enthusiast Gaming (TSXV:EGLX) announced that it has entered and agreement where it will merge with J55 Capital (TSXV:FIVE) and Aquilini GameCo. Through this partnership, the companies aim to build a more extensive esports and gaming company with C$22 million in combined pro forma revenue. As quoted in the press release: Menashe Kestenbaum, CEO of Enthusiast … Continued
Enthusiast Gaming (TSXV:EGLX) announced that it has entered and agreement where it will merge with J55 Capital (TSXV:FIVE) and Aquilini GameCo. Through this partnership, the companies aim to build a more extensive esports and gaming company with C$22 million in combined pro forma revenue.
As quoted in the press release:
Menashe Kestenbaum, CEO of Enthusiast Gaming commented, “Our vision has always been to build the largest, vertically integrated esports and gaming company in the world. The merger with Aquilini GameCo and Luminosity was a strategic decision that positions us as a dominant player in the gaming industry and unlocks access to Luminosity’s 50 million dedicated esports fans and one of the largest esports franchises. Through our successful monetization strategy, we will gain extremely valuable knowledge and information on the demographic that will revolutionize the advertising opportunities we can offer to brands and sponsors.”
The Transaction
Under a court approved arrangement (the “Arrangement”), J55 will acquire all of the outstanding common shares of Enthusiast Gaming (the “Enthusiast Common Shares”) in exchange for common shares of J55 (the “J55 Common Shares”) on the basis of 4.22 (post consolidation) J55 Common Shares for each one Enthusiast Gaming Common Share (the “Exchange Ratio”).
