- Enthusiast Gaming Holdings Inc. (EGLX) has settled certain deferred and earn-out payments for roughly $50 million worth of common shares
- It approached negotiations in a way that conserves tts cash position and minimizes exposure to common shares trading price volatility
- One acquired company involved has its earn-out shares tailored to due to excellent site traffic performance
- Enthusiast Gaming will be postponing its yearly annual meeting until next month
- Enthusiast Gaming Holdings Inc. (EGLX) is up 1.30 per cent trading at $3.12 per share s of 4:27 p.m. ET
Enthusiast Gaming (EGLX) has issued $50 million in common shares to settle certain deferred and earn-out payments.
The payments are related to its acquisitions of several technology companies.
The company has established conditions with the acquired companies over the past few months concerning the payment of the vendor obligations to conserve its cash position and minimize exposure to the trading price volatility of its common shares.
One of the companies, Outplayed Inc., has its earn-out shares tailored due to its site traffic performance consistently exceeding established targets for earn-out payments.
Negotiations for the amended agreements were settled by Enthusiast Gaming issuing a total of approximately 4.32 million common shares to one other company, Addicting Games Inc. and the issuance of a total of approximately 11.5 million common shares to Outplayed.
Enthusiast Gaming also settled the is obligations to Vedatis SAS by issuing 348,852 common shares.
In other news, Enthusiast Gaming announced that it will be postponing its yearly annual meeting until next month to give time for the company to review and respond to any opposing shareholder proposals and provide helpful information to all shareholders in advance of the meeting.
Enthusiast Gaming Holdings Inc. (EGLX) is up 1.30 per cent trading at $3.12 per share s of 4:27 p.m. ET.
