Playmaker Capital Inc. Shareholders Approve Purchase by Better Collective
In a recent development, it has been announced that the shareholders of Playmaker Capital Inc. have officially given their approval for the acquisition of the company by Better Collective. This comes after the revelation that a definitive purchase agreement will be finalized in the first quarter of 2024.
The approval was granted during a special shareholders meeting held on Jan. 22, where the majority of shareholders voted in favor of the acquisition. According to Businesswire, the completion of the purchase arrangement required the validation of the majority of the votes cast by the Firm’s Shareholders, as well as a minimum of two-thirds of the votes cast at the meeting.
The overwhelming support from shareholders, with 99.999% of the total number of votes in favor of the acquisition, signifies a step closer to the expected conclusion of the purchase deal. The acquisition is still subject to approval by the minister of Canadian heritage and the Ontario Superior Court of Justice, as well as the fulfillment of extra closing terms.
The purchase of Playmaker Capital by Better Collective is seen as a strategic move to establish the latter as the market leader in the South American region and strengthen its position in North America. To fund the acquisition, Better Collective will utilize stocks for 65% and 35% of the money. The company also plans to revise its financial targets for the years 2023 to 2027 once the acquisition is completed.
Playmaker Capital, based in Toronto, has its stake listed on the OTCQX in the US and the TSX Venture Exchange in Canada. The firm’s sports media brands, including Yardbarker, Futbolsites.net, and the Nation Network, will all be acquired by Better Collective.
The transaction terms specify that common stockholders of Playmaker will receive a payment of CA$0.70 per share. The two biggest shareholders, JPG Investments and Relay Investments, who collectively own 24% of stakes, will also invest part of their Playmaker stakes for shares of Better. This substantial stakeholder sale will be composed of approximately 75% of Better’s stakes and 25% of money, with both stakeholders signing lock-up deals to prohibit the sale of their Better Collective stakes for a certain time frame.
Additionally, Better Collective is also acquiring Playmaker HQ, a US-based sports media firm, as part of the purchase agreement. Overall, the acquisition of Playmaker Capital Inc. by Better Collective demonstrates the latter’s commitment to expanding its presence in the sports media and entertainment industry.