Business
Completion of the asset acquisition by DCB Sports
Completion of the asset acquisition by DCB Sports.
About this update from Defence Holdings Plc
[{"type":"text","content":"\n\nThe information contained within this announcement is deemed by the Company to constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014, as retained as part of the law of England and Wales. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.\n \nPress release\n \n16 October 2024\nGuild Esports PLC\n \n(\"Guild Esports\", \"Guild\" or \"the Company\")\n \nCompletion of the asset acquisition by DCB Sports LLC\n \nBoard change\n \nChange of Name\n \nFurther to the announcement of 5 August 2024, the Directors of Guild Esports (LSE: GILD) inform shareholders that DCB Sports LLC (\"DCB Sports\") has acquired 100% of the assets of Guild Esports in exchange for assuming all disclosed liabilities of the Company, which stand in excess of £2 million, and an immediate cash payment of £100,000 to the PLC (\"the Transaction\").\n \nDCB Sports will assume and run the Guild brand through a new entity, Guild Esports and Gaming Ltd., and will be responsible for providing the necessary future working capital to allow the business to operate from a stable financial platform, and further develop its existing partnerships with studios and creatives domestically and abroad. The £100,000 cash payment will be used as working capital for Guild Esports PLC while the Directors review and consider the next steps for the Company. Further announcements will be made, as appropriate, in due course.\n \nBackground\n \nOn 28 June 2024, Guild announced a material uncertainty that cast significant doubt on the Company's ability to continue as a going concern. This uncertainty was despite a successful cost-cutting programme which saw costs fall 38% year on year, and following Guild cutting £3.5m of costs between 2022 and 2023 (as announced on 31 January 2024).\n \nThe Directors took decisive measures to safeguard the Company's position and future prospects through immediately enacting a strategic review into Guild's financial position with a view to protecting shareholder value. On 1 August 2024, Guild announced the preliminary results of the review, and that the Company was exploring a range of options to allow Guild to meet its liabilities as they fell due. These options h...