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  • Professor Andrea M. Armani, University of Southern California
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  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

Grom Social Enterprises Working Towards Definitive Documents Phase of Acquisition of Texas-based Arctic7 Full Gaming Developer

BOCA RATON, Fla., April 30, 2024 (GLOBE NEWSWIRE) -- Grom Social Enterprises, Inc. (NASDAQ: GROM), a leading provider of family-friendly media and technology solutions, today announced that it has entered the definitive documents draft phase for its slated acquisition of Arctic7, Inc. (Arctic7.com), the emerging Texas-based gaming industry service provider. The pending deal was announced jointly by both companies in March as the companies entered into a non-binding letter of intent. Upon completion of the transaction, Arctic7’s gaming development and virtual production services would be offered alongside Grom’s current portfolio of kids’ and family entertainment, social media and educational services. The move into definitive documents was confirmed today by Darren Marks, Grom’s CEO.

“Grom is poised and ready to advance past due diligence review as we join executives from Arctic7 in the preparation and negotiation of all necessary definitive transition documents,” explains Marks.

The acquisition of Arctic7 will introduce Grom to the growing and lucrative gaming industry, estimated at $180B ($20B of which represents kids’ gaming) and allow Grom to explore synergies across its suite of offerings, which primarily cater to the entertainment demands of today’s families. Next year, Grom’s Curiosity Ink Media division will debut two co-productions, a feature film, Santa.com, and an original preschool series, Hey Fuzzy Yellow! – both slated for international distribution. These premiere franchises are the first film and TV series to come out of Grom's growing catalog of original intellectual property.

Looking forward, Arctic7 is anticipated to operate as a division within Grom and will continue to execute against its current strategy of delivering exciting and engaging experiences for players and partners. In the coming weeks and months, Grom and Arctic7 intend to explore partnership opportunities and titles presented by the Grom acquisition.

About Grom Social Enterprises, Inc.
Grom Social Enterprises, Inc. (NASDAQ: GROM) is a growing social media platform and original content provider of entertainment for children under 13, which provides safe and secure digital environments for kids that can be monitored by their parents or guardians. The Company has several operating subsidiaries, including Grom Social, which delivers its content through mobile and desktop environments (web portal and apps) that entertain children, lets them interact with friends, access relevant news, and play proprietary games while teaching them about being good digital citizens and Curiosity Ink Media, a global media company that develops, acquires, builds, grows, and maximizes the short, mid & long-term commercial potential of Kids & Family entertainment properties and associated business opportunities. The Company also owns and operates Top Draw Animation, which produces award-winning animation content for some of the largest international media companies in the world. Grom also includes Grom Educational Services, which provides web filtering for K-12 schools, government and private businesses. For more information, please visit https://gromsocial.com or for investor relations, please visit https://investors.gromsocial.com

About Arctic7
Established in 2022, Arctic7 is an industry leading team focused on delivering exceptional experiences via full game development, co-development and virtual production. With a focus on forming strategic partnerships, we aim to work with the world’s leading gaming, TV and movie companies delivering unparalleled experiences to our partners and players. Our diverse and experienced team, drawn from industry-leading gaming, film, and TV companies, is uniquely equipped to excel in this mission. With a growing global footprint, our four studios are strategically situated in two US locations, Canada and Europe. Each studio, being an integral part of our collective strength of more than 120 dedicated professionals, contributes to the rich tapestry of culture and creativity that defines Arctic7.
www.arctic7.com

Press contacts:
Paul Ward Paul@gromsocial.com
Jon Goddard Jon@arctic7.com
IR contact Shane@outsidethebox.capital


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