MLLLF News Out! Still hasn't started! $6.53, 52wk High!
Press Release: Torque Esports Enters into Definitive Agreement to Acquire 100% of Market-Leading Motorsport Simulator Manufacturer, Allinsports
9:20 am ET April 22, 2020 (Dow Jones) Print
Torque Esports Enters into Definitive Agreement to Acquire 100% of Market-Leading Motorsport Simulator Manufacturer, Allinsports
Canada NewsWire
TORONTO, April 22, 2020
- Terms of The Acquisition Increased from 51% to the Purchase of 100% of the Equity in Allinsports
TORONTO, April 22, 2020 /CNW/ -- Torque Esports Corp. (TSX-V: GAME) (OTCQB: MLLLF) ("Torque" or the "Company") has renegotiated the acquisition of the market-leading motorsport simulator manufacturer, Allinsports, which was originally announced on August 22, 2019.
The Company will now be acquiring 100 percent of Allinsports in exchange for the issuance of 14,500,000 common shares of the Company. In addition, if Allinsports achieves certain EBITDA metrics in fiscal 2021 excluding purchases made by the Company, the Company will make an earnout payment of US$2 million to the former shareholders of Allinsports. Closing of the transaction is expected to occur before the end of April
Founded in 2008 by ex-Formula 1 engineer Anton Stipinovich, Allinsports not only manufactures the most high-end racing simulator systems used by leading race teams globally but in 2018 launched the eRacer esports simulator rigs which immediately became the official sims of the "World's Fastest Gamer" competition.
Torque will now benefit from strong repeatable revenues from simulator sales in addition to the development of a variety of new products as the racing and esports market rapidly expands.
South African-born Stipinovich founded Allinsports in 2008. Most of his racing years were working for three high-profile Formula 1 racing teams including Ferrari, McLaren, and Red Bull Racing as Head of Research and Development. Over a period of 20 years he has accrued multiple Formula 1 world championships and more than 80 race wins with these top-level race teams.
Anton's engineering and F1 pedigree has led to his hand-built and customizable Simulators to be the rigs of choice for Formula 1 stars Kimi Raikkonen, Charles LeClerc, Sebastian Vettel, and Nicholas Latifi plus racing legends Fernando Alonso, Juan Montoya, Tony Kanaan, Adrian Fernandez, Rubens Barrichello, and Emerson Fittipaldi to name a few.
Additionally, Allinsports has been the technical partner to the Official Ferrari Driver Academy (NYSE: RACE) since its conception in 2009 which trains future racing stars and supplies bespoke Ferrari simulators to very exclusive clients.
Both the professional full-size and esports simulators are manufactured at Allinsports Italian manufacturing and development base in Maranello, Italy -- located only 2.3 miles from the Ferrari factory.
Helping bring Allinsports F1 experience to the esports world is the company's Technical Director, Giacomo Debbia -- a 25-year veteran of the Ferrari Formula 1 team and heads the design team for all simulators.
Update on Financial Reporting
The Company also announces that it will be utilizing the temporary blanket relief granted by the Ontario Securities Commission in Ontario Instrument 51-502 Temporary Exemption from Certain Corporate Finance Requirements (and equivalent relief granted by the other applicable provinces of Canada) to postpone the filing of its interim financial report for the six-month period ending February 29, 2020, the associated management's discussion & analysis and related filings (the "Interim Filings"), all of which it anticipates filing on or before the revised deadline of June 15, 2020.
The challenges posed by COVID-19 have resulted in a delay in the finalization and filing of the Interim Filings. However, the Company's board of directors and its management confirm that they are working expeditiously to meet the Company's obligations relating to the filing of the Interim Filings.
There have not been any material business developments since the date of the last interim financial reports of the Company that were filed.
