GameSquare (GAME) has signed a definitive contribution agreement to acquire sports, music and entertainment intellectual property assets from FanEngine, the company said Wednesday.
The deal, structured as an asset purchase and expected to close in Q4, will provide current GameSquare shareholders a 70% stake and FanEngine shareholders the remaining interest, the company said.
FanEngine shareholders can earn an additional 10% equity stake upon achieving certain financial milestones during 2027 and 2028, GameSquare said.
GameSquare said it expects 2027 revenue to be over $150 million, along with adjusted EBITDA of over $30 million. One analyst polled by FactSet expects 2027 revenue of $100 million.
Shares of the company were down 2.6% in early Wednesday trading.
Price: $3.03, Change: $-0.08, Percent Change: -2.57%