Boca Raton, Florida, Oct. 05, 2020 (GLOBE NEWSWIRE) -- Simplicity Esports and Gaming Company (OTCQB:WINR) (“Simplicity Esports”) announced today it signed a definitive agreement with one of its franchisees to acquire all of the assets of its esports gaming center including furniture, fixtures, equipment, inventory, and customer list. The franchisee owned gaming center in St. Petersburg, FL was first opened under the PLAYlive Nation brand on May 12, 2017. The full consideration for the acquisition is 29,504 shares of restricted Simplicity Esports common stock.
Roman Franklin, President of Simplicity Esports, commented, “This is our second acquisition in the last week and we expect to continue executing our strategy of acquiring franchisee owned locations while simultaneously signing new or amended leases with significantly improved terms. Our renegotiated lease agreement with this landlord requires us to pay rent as a percentage of gross sales along with a small fixed payment for taxes and maintenance. St. Petersburg becomes the sixth corporate owned gaming center in our growing nationwide footprint.”
“The city of St. Petersburg is home to over 265,000 residents, of which over 66,000 are under the age of 24. We believe there is a tremendous opportunity in the local market to expand the reach of our gaming center. The current staff will remain in their roles as we move to grow Simplicity Esports’ customer base in the area.”
Simplicity Esports’ acquisition of franchisee owned esports gaming centers allows Simplicity Esports to report the full revenues generated by the gaming centers on a conslidated basis. Previously, Simplicity Esports only reported the franchise royalty fee, calculated as 6% of gross sales, paid by franchisees.
About Simplicity Esports and Gaming Company:
Simplicity Esports and Gaming Company (WINR) is an established brand within the esports industry, competing and streaming in popular games across different genres, including Apex Legends®, PUBG Mobile®, Overwatch®, League of Legends®, and various EA Sports® titles. Simplicity Esports also organizes and hosts various online play from home tournaments in the U.S. and Brazil. Simplicity Esports also operates as an owner and franchisor of the largest footprint of Esports Gaming Centers in North America, that provide the public an opportunity to experience and enjoy gaming and esports in a social setting, regardless of skill or experience. Additionally, Simplicity Esports is an organizer and host of paid entry, online, play from home tournaments.
Apex Legends®, PUBG Mobile®, Overwatch®, League of Legends®, Fortnite®, EA Sports® and Free Fire® are registered trademarks of their respective owners.
Forward-Looking Statements:
This press release contains statements that constitute “forward-looking statements.” Forward-looking statements are subject to numerous conditions, many of which are beyond Simplicity Esports’ control, including those set forth in the Risk Factors section of Simplicity Esports’ Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) on August 31, 2020 and our subsequent SEC filings, as amended or updated from time to time. Copies of Simplicity Esports’ filings with the SEC are available on the SEC’s website at www.sec.gov. Simplicity Esports undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.
Simplicity Esports Contact:
Roman Franklin
President
Roman@SimplicityEsports.com
561-819-8586