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ESE Signs Letter of Intent to Acquire Global Esports Infrastructure Company
ESE Signs Letter of Intent to Acquire Global Esports Infrastructure Company V...
About this update from Ese Entertainment Inc
[{"type":"text","content":"\n \n \n \n ESE Signs Letter of Intent to Acquire Global Esports Infrastructure Company\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n VANCOUVER, BC\n \n ,\n \n Dec. 2, 2020\n \n /CNW/ -\n \n ESE Entertainment Inc.\n \n (\"\n \n we\n \n \", \"\n \n ESE\n \n \", or the \"\n \n Company\n \n \") (TSXV: ESE) (OTC PINK: ENTEF) is pleased to announce that it has signed a Letter of Intent (\"\n \n LOI\n \n \") to acquire (the \"\n \n Acquisition\n \n \") the assets of World Phoning Group Inc. and Encore Telecom Inc. (together, \"\n \n WPG\n \n \"), which are Canadian companies with combined revenue of over\n \n $12.5 million\n \n in the last twelve months. WPG operates in\n \n Europe\n \n and works with some of the world's most recognized brands. It provides infrastructure and support with bespoke solutions for fan engagement of sporting organizations, esports companies and telecom providers across the globe (the \"\n \n Business\n \n \").\n \n \n Under the terms of the LOI, the Business will be reorganized into a newly incorporated company (\"\n \n SubCo\n \n \"), in which ESE will hold a 51% interest, and WPG will hold a 49% interest. SubCo will continue to operate the Business following the completion of the Acquisition. ESE will have the right to acquire the remaining 49% interest in SubCo pursuant to a call option, exercisable for three years following closing.\n \n \n The purchase price will be paid with a portion in cash on closing, and the balance in common shares of ESE, vested over a period of three years. The founder and CEO of WPG and staff of WPG will continue to operate the Business following closing.\n \n \n WPG is an award-winning organization and one of the first service providers to engage the fans of sports and esports with robust out-sourced B2B, B2C and ecommerce support. Existing clients include the largest organization in motorsports, with 500 million fans world-wide, and the world's largest esports company. WPG's telecom customer base includes many tier-1 PTTs and over 150 tier-2 carriers. In the past year, WPG generated double-digit year-ov...