Last checked at 13 Jun 2017 15:50
Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR)
Gfinity plc
("Gfinity" or the "Company")
Strategic Partnership with IKON Media & Entertainment
Global expansion of Gfinity's Elite Series
Gfinity plc, a leading esports promoter, announces a strategic partnership with IKON Media & Entertainment ('IKON'), to support a global expansion plan for its Elite Series which, as previously announced, is to launch on 7 July 2017 in London.
IKON is a full-service entertainment, media and sports advertising agency, based in Ireland. The IKON management team possess more than 30 years' experience in the sport and media sectors, including the building and operation of a major franchise based sports league. IKON will be responsible for identifying commercial opportunities and partners on behalf of Gfinity internationally, with the aim of allowing Gfinity to take the Elite Series esports format and Gfinity's market leading tournament software that underpins it to other countries around the world, thus creating a network of global commercial rights and allowing Gfinity to build a worldwide esports community.
In respect of this agreement, IKON will be granted warrants over 7.5 million new ordinary shares in Gfinity (representing approximately 3.98 per cent. of Gfinity's current issued ordinary share capital) exercisable at 19.225 pence per share being the closing mid-market share price on Friday 9 June 2017. These warrants will be exercisable over a three-year period, conditional on the number of new markets into which IKON helps Gfinity roll out the Elite Series and the profitability of these series. The Board expect these warrants to be granted following obtaining the requisite share authorities at the Company's next general meeting, which will be announced separately.
Neville Upton, Chief Executive of Gfinity, said:
"Our ambition is to develop a world class esports competition platform that provides an unparalleled experience for competitors, partners and fans. IKON, with over 30 years' management experience, will support our global expansion ambitions for our Elite Series through identifying and introducing all the potential commercial opportunities and partners around the world.
"We believe the opportunity for international expansion is significant and will deliver significant shareholder value. This strategic agreement with IKON goes a long way to de-risking this ambition, whilst settlement of fees through warrants over shares aligns both businesses for success whilst preserving our strong balance sheet."
Brian Devine, Director of IKON, said:
"The opportunity presented by the rapidly growing worldwide esports sector is tremendous. We're very much looking forward to working with Gfinity, who have already established a reputation as a leader in this industry, with a view to establishing the Elite Series model on a global basis, providing a pathway from bedroom to podium for aspiring gamers around the world and creating a unique series of commercial rights for sponsors, broadcasters and aspiring franchise owners in every country."
Enquiries:
Gfinity plc | www.gfinityplc.com |
Neville Upton, Chief Executive Officer | Via Walbrook PR |
Allenby Capital Limited - AIM Nominated Adviser and Broker | Tel. +44 20 3328 5656 |
Jeremy Porter / John Depasquale / James Thomas | |
Walbrook PR (Media & Investor Relations) | Tel: +44 (0)20 7933 8780 |
Paul McManus / Helen Cresswell / Sam Allen | or gfinity@walbrookpr.com
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About Gfinity
Founded in 2012, Gfinity has quickly established itself as one of the world's leading esports business. The London-based company enjoys strong relationships with game publishers, players and the wider esports community and has built a reputation for delivering top quality esport competitions, both on-line and off-line, and producing industry leading esports broadcasts.
Gfinity has over 700,000 registered users eligible to compete in its online esport competitions. Gfinity stages world leading off-line events in which the world's top esport players travel to the Gfinity Arena in London to take part in competitions broadcast on-line to millions of viewers worldwide. Gfinity stages live esports events featuring top video gaming titles, across PCs, consoles and mobile devices.
Gfinity monetises the strong position that it has created through a combination of sponsorship, advertising, broadcast income relating to Gfinity's own events and through fees received for creating and delivering bespoke events for sponsors and game publishers seeking to engage with the esports community.