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Esports Entertainment Group Announces Completion of Public Offering of Common Stock and Warrants

By: Newsfile

Company Raises Net Proceeds of $13.6 Million

Hoboken, New Jersey--(Newsfile Corp. - March 2, 2022) - Esports Entertainment Group, Inc. (NASDAQ: GMBL) (NASDAQ: GMBLW) (or the "Company") today announced the successful completion of its public offering of common stock and warrants, raising proceeds of $13.6 million net of underwriting discounts, commissions and estimated offering expenses. The Company sold 15,000,000 shares of common stock and warrants to purchase 15,000,000 shares of common stock for a combined effective offering price of $1.00, with each common share accompanied by a warrant. The warrants are immediately exercisable at a price of $1.00 per share of common stock and expire five years from the date of issuance. The shares of common stock and the accompanying common warrants were issued separately and are immediately separable.

"The proceeds from this important offering allow us to build our working capital reserves and enable the Company to repay a portion of its outstanding debt," said Grant Johnson, CEO of Esports Entertainment Group. "Collectively, this will provide our Company with a far firmer foundation which will allow us to take advantage of the growth potential provided by our newest esports products as well as our European-based iGaming and online sports betting businesses. In particular, we remain extremely bullish about the growing interest in our OMEGA solution and believe the debut of our LANDuel platform later this month will have a material impact on our financial performance in the coming quarters."

This offering is being made pursuant to an effective shelf registration statement on Form S-3 (No. 333-252370) previously filed with the U.S. Securities and Exchange Commission (SEC) and which became effective on February 5, 2021. The offering was made only by means of a written prospectus and prospectus supplement that forms a part of the registration statement. A final prospectus supplement and the accompanying prospectus relating to the offering was filed with the SEC and is available on the SEC's website at www.sec.gov. Alternatively, electronic copies of the final prospectus supplement and the accompanying prospectus may be obtained from Maxim Group LLC, 300 Park Avenue, 16th Floor, New York, New York 10022, at (212) 895-3745.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful, prior to registration or qualification under the securities laws of any such state or jurisdiction.

Maxim Group LLC and Joseph Gunnar & Co., LLC acted as book-running managers for the offering.

About Esports Entertainment Group
Esports Entertainment Group is a full stack esports and online gambling company fueled by the growth of video-gaming and the ascendance of esports with new generations. Our mission is to help connect the world at large with the future of sports entertainment in unique and enriching ways that bring fans and gamers together. Esports Entertainment Group and its affiliates are well-poised to help fans and players to stay connected and involved with their favorite esports. From traditional sports partnerships with professional NFL/NHL/NBA/FIFA teams, community-focused tournaments in a wide range of esports, and boots-on-the-ground LAN cafes, EEG has influence over the full-spectrum of esports and gaming at all levels. The Company maintains offices in New Jersey, the UK and Malta. For more information visit www.esportsentertainmentgroup.com.

FORWARD-LOOKING STATEMENTS
The information contained herein includes forward-looking statements. These statements relate to future events or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. The safe harbor for forward-looking statements contained in the Securities Litigation Reform Act of 1995 protects companies from liability for their forward-looking statements if they comply with the requirements of the Act.

Contact:

Investor Relations Inquires
jeff@esportsentertainmentgroup.com

JCIR
Joseph Jaffoni, James Leahy, Norberto Aja
(212) 835-8500
gmbl@jcir.com

Media Inquiries
brandon.apter@esportsentertainmentgroup.com

eeg@kcsa.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/115409

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