Enthusiast Gaming Broadcasts Updates on Divestment of Direct Sales Business

TORONTO, Aug. 19, 2025 (GLOBE NEWSWIRE) — Enthusiast Gaming Holdings Inc. (“Enthusiast Gaming” or the “Company”) (TSX:EGLX) at this time introduced that it has entered right into a binding letter of intent (the “Binding LOI”) with Vertiqal Studios Corp. (“VSC”) pursuant to an unsolicited supply from VSC to amass the direct gross sales enterprise carried on by the Company (the “Direct Sales Business Line”). The entities and property to be acquired within the transaction (the “Transaction”) are the identical as these set out within the Company’s prior announcement in respect of the divestment of the Direct Sales Business Line on July 7, 2025 (the “July 7 Press Release”). Prior to getting into into the Binding LOI with VSC, the Company terminated its present non-binding letter of intent in respect of the Direct Sales Business Line as set out within the July 7 Press Release.

Under the phrases of the Transaction, VSC will purchase the Direct Sales Business Line and associated acquired entities for money consideration of C$900,000, which has been paid to the Company as a non-refundable deposit to safe the Transaction, in addition to the idea of all present and ongoing liabilities of the Direct Sales Business Line and bought entities as of the time limit. As of June 30, 2025, the web legal responsibility place of the Direct Sales Business Line and bought entities being assumed by VSC would have been roughly US$2.6 million.

Closing of the Transaction is anticipated to happen on or about September 5, 2025.

About Enthusiast Gaming
Enthusiast Gaming builds instruments, platforms, and experiences that avid gamers use day-after-day. Its portfolio of owned and operated digital properties contains among the most recognizable names in gaming, equivalent to U.GG, Icy-Veins, TheSimsResource, PocketGamer, Addicting Games, and Fantasy Football Scout, in addition to the worldwide B2B occasion sequence PocketGamer Connects. Through these property, Enthusiast Gaming generates income from programmatic promoting, subscriptions, and occasions, and is targeted on increasing its owned IP and deepening direct engagement with its viewers.

Contacts
Enthusiast Gaming: Alex Macdonald, Chief Executive Officer
Investors: [email protected]
Media: [email protected]

Forward Looking Information

This information launch incorporates sure statements that will represent forward-looking info underneath relevant securities legal guidelines. All statements, aside from these of historic reality, which handle actions, occasions, outcomes, outcomes, developments, efficiency or achievements that Enthusiast Gaming anticipates or expects might or will happen sooner or later (in entire or partially) must be thought of forward-looking info. Often, however not all the time, forward-looking info may be recognized by means of phrases equivalent to “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (together with detrimental variations) of such phrases and phrases, or statements fashioned sooner or later tense or indicating that sure actions, occasions or outcomes “may”, “could”, “would”, “might” or “will” (or different variations of the foregoing) be taken, happen, be achieved, or come to go. Forward-looking statements on this information launch embody, however are usually not restricted to, statements concerning the Binding LOI, the Transaction, and the anticipated time limit of the Transaction.

Forward-looking statements are based mostly on assumptions and analyses made by the Company in gentle of its expertise and its notion of historic traits, present situations and anticipated future developments, together with, however not restricted to, expectations and assumptions regarding curiosity and overseas change charges; capital efficiencies, value saving and synergies; progress and progress charges; the success within the esports and media trade; and the Company’s progress plan. While Enthusiast Gaming considers these assumptions to be cheap, based mostly on info at the moment out there, they might show to be incorrect. Readers are cautioned to not place undue reliance on forward-looking statements. In addition, forward-looking statements essentially contain recognized and unknown dangers, together with, with out limitation, dangers related to common financial situations; the timing and submitting of the ultimate base shelf prospectus and corresponding Registration Statement; the potential providing of any Securities by the Company; uncertainty with respect to the completion of any future providing; the power to acquire relevant regulatory approvals for any contemplated choices; the power of the Company to barter and full future funding transactions; opposed trade occasions; and future legislative, tax and regulatory developments. Readers are cautioned that the foregoing listing shouldn’t be exhaustive. For extra info on the chance, uncertainties and assumptions that would trigger anticipated alternatives and precise outcomes to vary materially, please consult with the general public filings of Enthusiast Gaming which can be found on SEDAR+ at www.sedarplus.ca. Readers are additional cautioned to not place undue reliance on forward-looking statements as there may be no assurance that the plans, intentions or expectations upon which they’re positioned will happen. Such info, though thought of cheap by administration on the time of preparation, might show to be incorrect and precise outcomes might differ materially from these anticipated. Forward-looking statements contained on this information launch are expressly certified by this cautionary assertion and replicate our expectations as of the date hereof, and thus are topic to alter thereafter. Enthusiast Gaming disclaims any intention or obligation to replace or revise any forward-looking statements, whether or not because of new info, future occasions or in any other case, besides as required by relevant regulation.

Neither the TSX Exchange nor its Regulation Services Provider (as that time period is outlined within the insurance policies of the TSX Exchange) accepts accountability for the adequacy or accuracy of this launch.