TORONTO, May 31, 2019 – Luminosity Gaming, who were acquired by Aquilini GameCo Inc. earlier this year, will be attending EGLX 2019 as special guests. Luminosity currently has esports teams competing in Fortnite, Counter Strike: Global Offensive, Call of Duty: Black Ops, Smite, and EA Sports: Madden. Attending athletes will be announced at a later date.
Enthusiast Gaming announced last month that it has entered into an arrangement agreement with J55 Capital Corp. and Aquilini GameCo Inc. to form a leading publicly traded esports and gaming media organization in North America.
The Arrangement is expected to provide significant strategic and financial benefits to Enthusiast Gaming including:
- Creates Leading, Diversified Gaming and Esports Organization: Management believes that the pro forma combined company will boast one of the largest media reach amongst gaming and esports organizations at approximately 200 million, across seven esports teams (including management of the Vancouver Titans Overwatch League franchise), 40 esports influencers, 80+ gaming media websites, 900+ YouTube and Twitch channels. The combined business generated pro forma revenue of $22 million and estimated $36 million in cash on closing of the merger
- Strategically Positioned to Leverage Luminosity’s Robust esports brand:
Through its monetization and ad tech platform, Enthusiast Gaming will utilize Luminosity and its significant reach in growing communities of like-minded fans, to produce engaging advertising experiences. Further, GameCo’s relationship with the NHL’s Vancouver Canucks and Rogers Arena, located in Vancouver Canada, will provide Enthusiast Gaming with access to new sponsors looking to reach the gaming and esports markets.
- Expected Margin Improvement: A combination of the net funds from the Private Placement (as discussed below) and cash-on-hand may be used to repay all or part of the Sims Resource Deferred Payment. The Sims Resource Deferred Payment is approximately US$14.0 million and when fully repaid will add approximately US$2.5 million of EBITDA to the combined company, by reducing an expense allocation.
- Enhanced Capital Market Profile: The closing of the Transactions will create a leading publicly listed esports and gaming organization, as measured by revenue and market capitalization.
For more information, please visit the full press release post here.