Midnight Gaming Corporation (“Midnight”) is pleased to announce its acquisition of TGS Esports Inc. (TSXV: TGS) for $18 million USD. This strategic move aims to bolster Midnight's presence in the esports media industry and expand its global influence.
Key Highlights of the Acquisition:
- Acquisition Date: May 3rd, 2024
- Purchase Price: $18 million USD
- Acquisition Type: Asset purchase agreement
- TGS Esports Established: 2018
- Industry: Esports and gaming
Strategic Importance
Ken McGraw, CEO of Midnight Gaming, emphasized the significance of the acquisition:
“With the acquisition of TGS esports, Midnight Gaming will continue to grow its influence world-wide as the leader in esports media and events. The addition of TGS to Midnight’s subsidiary portfolio is a key component to our future growth. Midnight’s media technology, able to reach millions across the globe through Connected TV, enriches TGS, our live events, and sponsor involvement, maximizing company profitability.”
Spiro Khouri, CEO of TGS, echoed the sentiment:
“The whole team at TGS is excited at the opportunity to work with Midnight. This partnership allows us to take the model TGS has built and expand it internationally. We have focused on growing our business and knew there would come a time where additional resources would be needed to take it to the next level. We are confident now is that time and Midnight is the right partner.”
Terms and Conditions
As part of the LOI:
- IP and Asset Retention: Midnight will retain certain TGS staff and will acquire TGS’s intellectual property, including social media channels, website domains, and various gaming and AV equipment.
- Contract Assumption: Midnight will assume certain existing contracts currently held by TGS.
- Payment Method: Midnight will acquire TGS’s IP and assets in return for common shares of Midnight.
- Liabilities: Midnight will assume certain liabilities of TGS.
Completion Conditions:
- Due Diligence: Satisfactory completion is required.
- Exchange Approval: Necessary regulatory approvals must be obtained.
- Definitive Agreement: Entry into and closing of a definitive agreement with shareholder approval.
About the Companies
Midnight Gaming Corporation: A leader in esports media, Midnight Gaming connects brands and advertisers to the esports industry, facilitating quality events and activations worldwide.
TGS Esports Inc.: A full-service marketing solutions provider specializing in engaging video game and esports fans. TGS creates gaming strategies and marketing programs for brands and builds custom brand activations for various digital and social media platforms.
For more information, please visit TGSEsports.gg.
