TORONTO, ONTARIO–(Newsfile Corp. – April 25, 2024) – NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) (“NorthStar” or the “Company”) today announced that (i) NorthStar Gaming (Ontario) Inc. (“NorthStar Ontario”), a wholly owned subsidiary of the Company, has expanded its strategic partnership with Playtech Software Limited (“Playtech Software”) through the renewal of a previously announced strategic marketing agreement . ii) Playtech plc advanced short-term funding to the Company in the amount of $3 million. All numbers are expressed in Canadian dollars.
NorthStar Ontario and Playtech Software have extended a marketing agreement executed last year to accelerate NorthStar Ontario's player acquisition strategy in Ontario. The initial agreement, announced by the Company on June 23, 2023, brings his total services from Playtech Software worth $4 million and is a key driver of his NorthStar Ontario's growth in 2023. With the updates announced today, Playtech Software provides the following services: In Ontario, up to $4 million worth of similar marketing services will be provided until October 31, 2024. Playtech Software will be reimbursed and compensated through a portion of the revenue generated in connection with the marketing efforts it contributes to.
Separately, the Company issued a $3 million unsecured interest-bearing promissory note (the “Note”) dated April 25, 2024 to Playtech plc. The bond bears interest at 8% per year, payable in arrears at maturity. Unless otherwise accelerated pursuant to the Terms, the Notes shall become due and payable immediately on the earlier of (i) a date twelve (12) months after April 25, 2024; (ii) the date on which the Company or its Subsidiaries complete additional financing transactions totaling $10 million or more, subject to certain exceptions; Proceeds from the Notes will be used to fund the Company's continued growth and for general corporate purposes.
“We are thrilled to continue to strengthen our relationship with Playtech, one of the world's leading gambling technology companies,” said Michael Moskowitz, Chairman and CEO of Northstar. said. “Their continued support has helped us acquire new customers, deliver a premium online gaming experience, and fund brand expansion in Ontario and across Canada.”
The issuance of the Notes constitutes a “related party transaction” within the meaning of TSX Venture Exchange (“TSXV”) Policy 5.9 and Multilateral Agreement 61-101. Protection of minority security holders in special transactions (“MI 61-101”). Playtech plc or its affiliates have control or direction over our securities holding more than 10% of the voting power attached to our outstanding voting securities. With respect to such “related party transactions,” we rely on the exemptions from the evaluation and minority shareholder approval requirements of MI 61-101 contained in Sections 5.5(a), 5.5(b), and 5.7(1)(a). I am. and 5.7(1)(f) of MI 61-101. Because the Company was required to sign and complete promptly, the Company did not file the material change report at least 21 days prior to the closing of the sale of the Notes. In our view, this approach is reasonable given the circumstances. This offering of notes has been approved by all of the Company's independent directors.
About Northstar
NorthStar proudly owns and operates NorthStar Bets, an Ontario-made casino and sportsbook gaming platform that provides players with a unique, local, and best-in-class user experience. NorthStar Bets Sportsbook provides the most popular online casino games, along with real-time news, statistics, analysis, and scores directly into your betting environment. Slapshot Media Inc., a subsidiary of NorthStar, provides managed services to Northstarbets.com, an iGaming site owned and operated by the Abenaki Council of Warinak.
NorthStar, a Canadian company, is uniquely positioned to be a convergence leader at the intersection of sports media and sports betting through partnerships and agreements with major media companies. NorthStar is committed to operating at the highest responsible gaming standards.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSXV nor its Regulation Services Provider (as that term is defined in his TSXV's policies) accepts responsibility for the adequacy or accuracy of this press release.
Cautionary Note Regarding Forward-Looking Information and Statements
This communication contains “forward-looking information” (“forward-looking statements”) within the meaning of applicable securities laws in Canada, including, without limitation, statements regarding: Will not: Benefits expected from our new marketing agreement with Playtech. the performance of Playtech and our respective obligations thereunder, our ability to obtain Ontario customers, the expected use of profits and proceeds from the Notes and our ability to meet our obligations under the Notes; The above information is provided for the purpose of presenting information regarding management's current expectations and plans for the future, and providing investors and others with a deeper understanding of the Company's anticipated financial condition, operating results, and operating environment. It has been. Forward-looking statements often, but not always, include words such as “plans,” “expects,” “anticipates,” “budgets,” “intends,” “estimates,” “continues,” “and” Can be identified by the use of words. “anticipate,” “anticipate,” “anticipate,” “intend,” “anticipate,” or “believe,” or any variation or negation of such words or phrases, or any variation or negation of such words or phrases, or that a particular action, event, or result will be “There is a possibility.” “could,” “would,” “should,” “might,” or “will” be taken, happened, or accomplished. This information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. I am. This forward-looking information is based on management's opinions, estimates and assumptions that Northstar believes to be appropriate and reasonable as of the date of this press release, but is subject to known and unknown risks and uncertainties. They may be subject to certainties, assumptions and other factors. that actual results, levels of activity, performance or achievements may differ materially from those expressed or implied by such forward-looking information; Such factors include, among others: risks related to our business and financial condition; risks related to general economic conditions; adverse industry risks; future legislative and regulatory developments; our ability to execute our business strategy; These factors are further described in the “Risk Factors” section of our most recent annual information form. This form is available on NorthStar's profile on SEDAR+. www.sedarplus.ca. Many of these risks are beyond our control.
actual results or future events if any of these risks or uncertainties materialize, or if the opinions, estimates or assumptions underlying the forward-looking information prove to be incorrect; may differ materially from those anticipated in the forward-looking statements. Although the Company has endeavored to identify important risk factors that could cause actual results to differ materially from those contained in the forward-looking statements, it is not currently known to the Company or There may be other risk factors that you do not consider to be significant at this time. Additionally, actual results and future events may differ materially from those expressed in such forward-looking statements. There can be no assurance that such information will prove to be accurate, as actual results or future events could differ materially from those anticipated in such information. Forward-looking statements are not guarantees of future results. Therefore, you should not place undue reliance on forward-looking information, which speaks only as of the date made. The forward-looking information contained in this press release represents Northstar's expectations as of the date specified herein and is subject to change after that date. However, the Company disclaims any intention, obligation or undertaking to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. .
All forward-looking information contained in this press release is expressly qualified by the cautionary statements set forth above.
For more information:
Company contact:
corey goodman
chief development officer
647-530-2387
investorrelations@northstargaming.ca
Public relations activities for investors:
RB Milestone Group LLC (RBMG)
Northstar@rbmilestone.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/206905.
