On August 30, 2016, Global Daily Fantasy Sports Inc. (“Global” or the “Company”) announced the completion of a change of business and a concurrent equity financing, to become a leading player in the daily fantasy sports market.
With its newly acquired assets, Global is able to offer an accelerated variant of traditional fantasy sports that is conducted over short-term periods, such as a week or a single day of competition, as opposed to those that are played across an entire season. The Company offers operators flexible avenues to protect and expand their audience while growing revenue on a mature infrastructure that was built for regulated markets.
As part of the change of business the company completed a non-brokered private placement financing by issuing 15,000,000 units (each a “Unit”) at a price of C$0.40 per Unit, for gross proceeds of C$6,000,000 to the Company. Each Unit comprised of one (1) common share and one half (0.5) transferable common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder to purchase one full common share at a purchase price of C$0.75 until August 30, 2017 and $1.00 until August 30, 2018.
Further details on the acquisition and development of daily sports gaming assets and the equity financing can be found on Global Daily Fantasy Sports’ website.