TORONTO, Nov. 18, 2019 /CNW/ – NEW WAVE ESPORTS CORP. (the “Company” or “New Wave Esports”) (CSE: NWES), an esports and competitive gaming company that provides capital and support services, announced today its strategic investment (the “Investment”) in Talon Esports Limited (“Talon”), a professional esports organization with a growing presence across Asia including Hong Kong, South Korea, Taiwan and Thailand. In addition to the Investment, New Wave Esports will work closely with Talon’s leadership to provide advisory support services to help fuel continued growth.
Talon Esports highlights include:
- Participating in a number of triple A gaming titles across the APAC region including Overwatch Contenders, Tekken 7, Street Fighter V, Arena of Valor, Rainbow 6 Siege and Clash Royale in markets such as Taiwan, Hong Kong, Thailand and South Korea.
- Securing an Arena of Valor franchise slot in the RoV Pro League in Thailand for 2020.
- Multiple championships across various titles including Overwatch (3x Pacific Champions in the last 4 seasons), Street Fighter V (PPL Masters Champion in Shanghai, Red Bull Kumite Last Chance Qualifier), Tekken 7 (Thaiger Uppercut, Fighting Games Challenge, DOUBLE K.O. #4, Atlanta Battle Opera).
- Securing sponsorships with partners such as Logitech, H Cubed Investments, Noble Chairs and Twitch with more to come heading into 2020.
- Establishment of a creative studio based in Hong Kong to support both endemic and non-endemic clients with brand activation and digital marketing campaigns in the esports space.
“We are looking to build on our momentum from 2020 by expanding into additional international gaming titles and further developing our brand through the establishment of our very own creative studio,” said Sean Zhang, CEO of Talon Esports. “With the addition of New Wave Esports’ leadership and expertise, we are equipped to continue our aggressive growth and achieve our vision.”
“Talon’s proven ability to show revenue growth and thorough execution with no external capital raises to date sets them apart as a strong, leading esports organization,” said Daniel Mitre, CEO of New Wave Esports. “Through the new investment and strategic partnership with Talon Esports we are excited to continue building the next generation of esports as a commitment to executing against our Asian growth strategy we announced in October.”
Pursuant to the terms of a Subscription Agreement dated November 13, 2019 between New Wave Esports and Talon, the Company has subscribed for 681,818 common shares (the “Talon Shares”) in the capital of Talon at a price of USD$0.44 per Talon Share, for an aggregate investment amount of USD$300,000 (approximately CAD$396,690). It is anticipated that the Investment will close by November 22, 2019 and on closing will represent approximately 5% of the issued and outstanding shares of Talon, on an undiluted basis.
In connection with this strategic Investment, the Company has also entered into a Consulting Agreement with Talon dated November 13, 2019 (the “Consulting Agreement”) pursuant to which the Company will perform certain strategic advisory services for Talon. Under the Consulting Agreement, the Company will, among other things, facilitate introductions to video game publishers and developers, assist with strategy setting and execution, provide guidance with respect to Talon’s influencer and community engagement campaigns, provide strategic guidance and execution in sponsorship revenue flow, open new collaborations with New Wave’s current portfolio companies, and provide support in the capital markets arena to assist in meeting Talon’s business objectives. On execution of the Consulting Agreement and as compensation for its services, the Company has been granted 681,818 incentive stock options to purchase Talon Shares at an exercise price of USD $0.44 with an expiry of 18 months from the effective date of the Consulting Agreement, with such stock options to be governed by the terms of Talon’s incentive stock option plan. The Consulting Agreement has an initial term of one year and may continue thereafter on a month-to-month basis, subject to the termination provisions thereof.
ABOUT TALON ESPORTS LIMITED
Talon is a professional esports team operator providing a supportive platform to elevate its players to compete at the highest levels in triple-A gaming titles. The Company’s vision is to provide the highest standards for competitive coaching, player frameworks, integrity and culture in esports.
In addition to their professional teams, Talon has a creative studio providing solutions for brands endemic and non-endemic to esports and a consulting arm which assisting investors and financial services professionals navigate the esports terrain. Talon has offices located in Hong Kong, Taipei, Seoul and Bangkok.
ABOUT NEW WAVE ESPORTS CORP.
New Wave Esports Corp. (CSE: NWES) is an esports and competitive gaming company that provides capital and support services to esports organizations, teams, leagues, events, platforms, tools, and technology innovators.
New Wave Esports has leadership teams located in Toronto, Ontario and Los Angeles, California. Esports organizations and investors interested in connecting with New Wave Esports can learn more about the company and contact the team at http://newwaveesports.com.
Media interested in interviews and more information may contact New Wave Esports at [email protected].
HIGHLIGHTS OF THE NEW WAVE ESPORTS PORTFOLIO:
Even Matchup Gaming: Events company bringing esports to the masses through over 80 annual events (own 18% with the option to acquire up to 49%).
Tiidal Gaming: Esports organization that owns and operates Canada’s premier esports team Lazarus, one of the highest-grossing teams in the world.
PlayLine: Daily fantasy sports betting platform, co-founded by UFC middleweight champion Michael Bisping, and two time NBA All-Star Roy Hibbert as their Investor/Strategic Partnerships Manager.
Thunderbolt CDG: Full acquisition of software applications and technology development company that has provided services for 40+ startup companies.
Information relating to Talon contained in this news release was provided by Talon and/or its agent and has not been independently verified by the Company. The Company does not take responsibility for the accuracy of such information.
FORWARD-LOOKING INFORMATION DISCLAIMER
Certain statements contained in this news release may constitute forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as “anticipate”, “plan”, “estimate”, “expect”, “may”, “will”, “intend”, “should”, and similar expressions. Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. The Company’s actual results could differ materially from those anticipated in this forward-looking information as a result of competitive factors and competition for investment opportunities, challenges relating to operations in international markets, transaction execution risk, changes to the Company’s strategic growth plans, and other factors, many of which are beyond the control of the Company. The Company believes that the expectations reflected in the forward-looking information are reasonable based on current expectations and potential investment pipeline, but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon. Any forward-looking information contained in this news release represents the Company’s expectations as of the date hereof, and is subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable securities legislation.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. Not for distribution to U.S. Newswire Services or for dissemination in the United States. Any failure to comply with this restriction may constitute a violation of U.S. Securities laws.