Tekkorp Capital invests in FansUnite as part of private placement
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Tekkorp Capital has invested in FansUnite after the Canadian firm announced a non-brokered private placement of units in the company aggregate gross proceeds of $2m.
Under the offering, Tekkorp has agreed to acquire 13,750,000 units of the financing, priced at $0.08 each.
Each unit consists of one common share of FansUnite and one common share purchase warrant.
Each warrant entitles the holder to purchase one common share at the price of $0.12 for 36 months following the closure of the deal.
FansUnite said the proceeds from the offering would be used for “general corporate working capital purposes”.
The B2B and B2C firm added that it may have to pay certain finders a fee in connection with the sale of the units to other parties.
Scott Burton, FansUnite CEO, said: “This private placement offers us an opportunity to work with a strategic investor group consisting of top executives who have helped build and grow some of the largest gaming companies globally.”
Matt Davey, Tekkorp founder and chair, said: “We are active investors in the sports and gaming industry and look for great businesses with strong leadership in market segments we like.
“Scott and his team at FansUnite tick all the boxes for us and we are happy to support in their journey to grow the company and shareholder value for all investors,” he added.