Simplicity Esports and Gaming Company announced that it acquired all assets of PL Gaming Texas LLC, “one of the most successful franchisee-owned esports gaming centres in its nationwide footprint.”
Per a release, the acquisition was a combination of cash and restricted shares of common stock. In addition, Simplicity Esports executed a lease assignment and amendment that does not require a fixed rent. Instead, rent is determined from a percentage of gross sales.
RELATED: Simplicity Esports sets sights on NYSE American public offering
Roman Franklin, President of Simplicity Esports, spoke on the transaction in a release: “Our franchisee has done an excellent job building, staffing, and growing this location. The gaming center consists of over 30 gaming stations, gaming related merchandise and accessories for sale, and a quality staff that will remain in place after the acquisition to continue serving the center’s thousands of existing customers.”
Simplicity Esports and Gaming owns Simplicity Esports, a North American organisation that competes Apex Legends, PUBG Mobile, Overwatch, and League of Legends, as well as Brazilian brand Flamengo Esports. The company is also known as a franchisor of over 40 esports and gaming centres.
[primis_video widget=”5183″]
RELATED: Simplicity Esports receives $500,000 investment from Triton Funds
According to Franklin, the company only reported royalty fees collected from the franchisee in financial statements. Now, “because financial reporting for majority owned gaming centers is consolidated, as a result of this acquisition,” 100 percent of the centre’s revenue will be included in the company’s financial statements.
Esports Insider says: Simplicity Esports is building a name for itself in the esports industry as a competitor across multiple prominent titles and regions. By acquiring this centre, Simplicity is opening doors for amateur and casual competitors in a social setting in a move that could help complement the organisation’s online tournaments.
[maxbutton id=”4″ ]
