We are pleased to announce that we have entered into a non-binding letter of intent (the “LOI”) with Activate Entertainment LLC (“Activate”) and the principal owners of Activate to acquire a 100% interest in Activate (the “Transaction”).
ABOUT ACTIVATE ENTERTAINMENT LLC
Activate is a creative management and production services company that specializes in esports events and activations. With operations in Los Angeles, CA and Las Vegas, NV, Activate offers full 360 turnkey solutions for professional, high-quality livestreams. Their team of technical directors, producers, content managers and stage crew members have decades of experience in live television and online production. Leveraging the latest equipment on the market (ranging from remote controlled PTZ cameras to Tricaster video switching technology), Activate has the ability to elevate any livestream into a AAA broadcast.
Many leisure and hospitality-focused businesses are attempting to take advantage of the rapidly growing popularity of esports, and gaming generally. Activate currently works with a number of leading hotel chains such as Caesars Entertainment and Marriott to incorporate gaming programming, equipment and technology into their rooms for a premium guest experience. Using high-end PCs, consoles and peripherals, Activate helps such businesses take full advantage of the global esports phenomenon.
Generally, in past several years, Activate has had consistent top-line revenue streams and profitability has been consistent with around 25% margins. The Company expects the Transaction to create increased revenues and cash flow for Activate, benefitting from a partnership with esports and gaming industry companies to produce unique content programming out of the Blackfire Studio and DTLV locations.
In addition to the foregoing, Activate will provide new opportunities to the New Wave Esports portfolio by leveraging their proficiencies in:
· Livestream Production
· Tournament Operation
· Custom Activation Creation
· Partnership Representation
· IT & Support Infrastructure
· Esports Event Consultation & Production
· Hotel & Casino Resort Gaming Consultation
· Esports & Gaming Content Broadcast Production
Cross collaboration opportunities between New Wave Esports and Activate include (without limitation):
· Improved onsite event production
· Partnership and sponsorship management
· Expand event hosting and venue opportunities
· Custom content creation
· Complete content solutions
· Asset and brand IP creation
· General event staffing
· Marketing exposure featuring multiple NWES portfolio companies together
Caesar’s Entertainment: Activate has worked with Caesars for the past 2 years on multiple esports initiatives including the esports stage at the World Series of Poker, the Streamer Suite at The Rio, and third-party esports events
Black Fire Studio: Exclusive operations and management partner for the esports studio and control room at Black Fire Innovation, in partnership with Caesars Entertainment UNLV
Panasonic Advisory: Contracted to produce esports programming for upcoming CES, InfoComm and ISE shows
Dell/Alienware: Coordinating esports programming for Dell Technologies World, as well as TwitchCon and E3
NAB Show: Coordinating esports stage, programming, and content for NAB Show, the largest broadcast technology convention in the worldGreenlit Content Partnership: Mandated with the production of two events: (i) CES Pre-Event Esports Party at the MGM Grand; and (ii) Wizard World Convention in New Orleans