- Technology company YDX Innovation (TSXV:YDX) has completed its previously announced 100 per cent acquisition of BEAT Gaming
- The deal was originally announced in a letter of intent back in late-March
- As consideration for the acquisition, YDX Innovation paid a total of C$640,000, made up of both cash and stock
- The company said that BEAT Gaming will complement its current esports initiatives and expand its business opportunities
- YDX Innovation (YDX) is currently down 11.76 per cent to $0.15 per share, with a market cap of $1.97 million
Technology company YDX Innovation (TSXV:YDX) has completed its previously announced 100 per cent acquisition of BEAT Gaming.
Since its establishment in 2011, BEAT Gaming has organised more than 30 professional and semi-professional esports events, reaching over 40 million views globally. Some of the company’s events have received coverage from major media outlets, such as ESPN, and have had successful engagements with Blizzard Entertainment and Twitch.
In addition to holding its own events, BEAT Gaming also provides esports consulting, management and tournament organising services.
As consideration for the acquisition, YDX Innovation will pay a total of C$640,000 to the vendors of BEAT Gaming. This includes 4 million common shares with a value of $240,000, as well as $400,000 in cash payable 13 months from today.
25 per cent of the shares were issued to the vendors upon closing of the transaction, with the remaining 75 per cent subject to voluntary holding periods. The holding shares will be paid out in equal amounts two, four and six months from today.
Daniel Japiassu, CEO of YDX Innovation, said he is pleased to welcome the BEAT Gaming team to the YDX family.
“BEAT strongly complements our ambitious esports initiatives and the combination of our network with the experience of BEAT will help expand our business opportunities in esports, both for online and live events like our Game On Festival,” he added.
In connection with the acquisition, YDX Innovation has also issued 400,000 common shares to The Sarwal Group Enterprise as a finders fee. A further 525,000 common shares will be payable 13 months from now.
YDX Innovation (YDX) is currently down 11.76 per cent to $0.15 per share at 3:34pm EDT.