Online and mobile gaming company i3 Interactive, Inc., on Friday said it has filed its annual information form and has requested the IIROC lift a halt and allow the company’s common shares to resume trading on the Canadian Securities Exchange.
The Toronto, Canada-based company is a provider of an online and mobile gaming platform designed to provide sports fans worldwide with a social gaming product, and a sports betting and casino product offering.
As reported by Gaming America, on December 2 i3 issued a corporate update, saying it is continuing its strategy of building an online gaming presence globally, starting with the emerging markets in the United States, Canada and India.
In the December 2 statement, the company promised an additional update soon – which arrived Friday. i3 said it wanted to ensure “full transparency” with its shareholders by providing news on two “very exciting” initiatives that have been ongoing: the acquisition of the remaining equity of Livepools and the signing of a non-binding LOI with an online gaming company.
Livepools operates a skill-based fantasy gaming site in India.
While not yet finalized, the negotiations on these two developments are “very near completion,” the company said.
Through its subsidiary Redrush Online Private Limited, i3 previously acquired 30.72% of Livepools Private Limited, with an option to acquire the remaining equity in various tranches. On Friday, i3 said it is in the “final stretches” of its negotiations with Livepools to accelerate the initial timeframes and adjust the deal terms.
The company said it anticipates it will, through Redrush, fund up to $500,000 to Livepools for up to 35,308 additional shares of Livepools, which would result in i3 owning 50.52% of Livepools.
i3 added it recently funded $80,000 to Livepools, which is being used for working capital, growth and marketing.
“We are thrilled to have the opportunity to bring the Livepools entity more fully under our ownership and control, to focus on accelerating its growth and developing this business in our ecosystem of online gamers,” Troy Grant, i3 CEO and director, said in a statement.
In addition, i3 said it is finalizing an option agreement with the current arm’s length owners of Livepools to purchase their equity shares of Livepools. i3 said it will pay the owners a total of $3.25m, while noting the exact allocation between the Option Price and Exercise Price is not yet known.
The two parties said the fair market value of the owners’ equity in Livepools will be determined by a valuation report, but they anticipate the option consideration will be satisfied with up to $700,000 in cash with the balance in i3 shares.
i3 said it has entered a non-binding letter of intent to acquire an unidentified online gaming operator with a “well-established brand in the lucrative and rapidly growing Indian online gaming market.” i3 said it will update the market on this transaction in the next few weeks.
