Kings Entertainment has followed up on a prior pledge to pursue acquisitions after announcing a definitive agreement to acquire all of the issued and outstanding shares in the capital of Braight AI Technologies.
The company intends to leverage the Canadian group’s technology to accelerate its user verification process, with an internal probe to be undertaken as to how this could also benefit its lotto and gaming platforms.
Pursuant to the terms of the agreement, the company will issue an aggregate of 59,289,392 common shares in the capital of the company to shareholders of Braight AI at a value of $0.185 each.
After closing, the arms-length transaction will also see Kings Entertainment appoint two nominees of Braight AI to its board of directors.
Closing of the transaction is subject to receipt of an independent third party valuation of Braight AI that proves to the satisfactory to the firm, compliance with all applicable regulatory requirements and receipt of all necessary regulatory, corporate, and board approvals being obtained, including the approval of the Canadian Securities Exchange.
However, Kings Entertainment, the parent company of LottoKings and WinTrillions, has noted that there can be no assurance that the transaction will be nudged over the line.
Last month, Braight AI entered into a share exchange agreement with Polish firm Epeer Spółka Z Ograniczoną Odpowiedzialnością relating to the acquisition of all issued and outstanding capital of the form.
Pursuant to the acquisitions terms of conditions, after closing Kings Entertainment has agreed to transfer $1.5m to Epeer.
This will be done in four equal instalments of $375,000 which will be undertaken seven days after the deal is finalised, as well as on or before October 10, 2023, January 10, 2024; and April 10, 2024. The company will also transfer 30 per cent of the net proceeds from each capital raise within the 24 months to Epeer.
Earlier in the year, Kings Entertainment announced that a settlement had been reached with Sports Venture Holdings regarding an ultimately doomed business combination agreement.
The merger agreement alongside the holding company of the Canadian sportsbook and online casino brand Bet99 was first detailed in late May 2022, with the deal subsequently being pursuant to three extensions in a bid to nudge the combination over the line.
