Gaming technology company Intema has announced the completion of a second tranche of its non-brokered private placement of subscription receipts, totaling $4.2m, in order to fund its deal to acquire the owner of Loot.bet.
This brings the total gross proceeds to $10.0m, out of a maximum of $15.0m. The second tranche involved the issuance of 8.5 million subscription receipts at $0.50 each.
The private placement is happening in conjunction with Intema’s previously announced acquisition of Loot.bet owner Livestream Gaming’s issued and outstanding securities.
The acquisition was announced in May and cost Intema $14.7m. A total of $8.0m was agreed to be in cash, while $4.0m was to be issued by a secure vendor. The remaining $2.75m was agreed to be paid in a share issue floated on the TSX Venture Exchange.
“We are pleased and proud that our current and future shareholders have shown such confidence in Intema’s future plans, allowing us to reach the minimum amount we set for the Livestream acquisition,” said Laurent Benezra, president and CEO of Intema.
“With the progress we have made in recent weeks and the continued momentum in the esports and iGaming sectors, we have seen a significant increase in demand for our financing, which leads us to believe that we’ll be able to reach our $15 million target.”
Last week, Intema announced its acquisition of Team Bloodhound, owner of Canadian esports brand Team BH.