Agreement Solidifies OverActive Media's Position in Europe's Premier Esports League
New Agreement Eliminates $2.0 million in Franchise Payables, and Opens New Pathways for Growth and Engagement
TORONTO, Nov. 14, 2024 /CNW/ - OverActive Media (TSXV: OAM) (OTC: OAMCF), a global esports and entertainment company for today's generation of fans, is pleased to announce a new long-term partnership agreement with Riot Games, securing OverActive's continued participation in the League of Legends EMEA Championship (LEC). Originally awarded an LEC franchise in 2018, this partnership reinforces OverActive's commitment to one of the most prestigious and competitive leagues in global esports.
Key Deal Highlights:
Strengthened Market Position : The renewed partnership with Riot Games solidifies OverActive Media's position in the LEC, promoting further growth in its team and reinforcing OverActive's influence in one of esports' elite leagues.
New Revenue Streams: The agreement unlocks new revenue streams, including expanded sponsorship opportunities, merchandise sales, in-game purchases, and media rights. Additionally, OverActive will gain access to Riot Games' global network of media and sponsorship partners, enhancing revenue potential across multiple international markets.
Franchise Fee Reduction: As part of the agreement, OverActive Media will see a reduction in franchise fees, eliminating $2.0 million in fees previously due in 2025. This provides OverActive with a stronger financial footing while preserving the franchised league structure.
"With this agreement, we have eliminated all future franchise obligations from our balance sheet and we now own 100% of our franchises without any associated liabilities," said Adam Adamou, CEO of OverActive Media. "This long-term partnership with Riot Games reaffirms our commitment to the League of Legends EMEA Championship and strengthens our strategic position in esports. We are excited to deepen our connection with fans and partners through our continued participation in the LEC, as we focus on delivering sustainable, long-term value for our shareholders."
ABOUT OVERACTIVE MEDIA
OverActive Media Corp. (TSXV: OAM) (OTC: OAMCF) is headquartered in Toronto, Ontario, with operations in Madrid, Spain and Berlin, Germany, is a premier global esports and entertainment company for today's generation of fan. OverActive owns team franchises in professional esports leagues, including the Call of Duty League, operating as the Toronto Ultra, the League of Legends EMEA Championship (LEC), operating as MAD Lions KOI, the VALORANT Champions League (VCT) EMEA, operating as Movistar KOI and other professional esports leagues and competitions.
This press release contains statements which constitute "forward-looking statements" and "forward-looking information" within the meaning of applicable securities laws (collectively, "forward-looking statements"), including statements regarding the plans, intentions, beliefs and current expectations of OverActive with respect to its partnership with Ecoembes and the anticipated benefits of that partnership as well as future business activities and operating performance. Forward-looking statements are often identified by the words "may", "would", "could", "should", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" or similar expressions and includes information regarding the anticipated financial and operating results of OverActive in the future.
Investors are cautioned that forward-looking statements are not based on historical facts but instead OverActive management's expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although OverActive believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties, and undue reliance should not be placed thereon, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the OverActive. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking statements include the following: the potential impact of OverActive's qualifying transaction on relationships, including with regulatory bodies, employees, suppliers, customers and competitors; changes in general economic, business and political conditions, including changes in the financial markets; changes in applicable laws and regulations both locally and in foreign jurisdictions; compliance with extensive government regulation; the risks and uncertainties associated with foreign markets; the ability of the Company to continue to execute on its existing partnerships and business strategy; the ability of the MAD Lions and Call of Duty Leagues to maintain viewership; the successful completion of the Company's new venue; and other risk factors set out in OverActive's most recent annual information form and its other filings with Canadian securities regulators, copies of which may be found under OverActive's profile at www.sedarplus.ca. These forward-looking statements may be affected by risks and uncertainties in the business of OverActive and general market conditions9.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although OverActive has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended and such changes could be material. OverActive does not intend and do not assume any obligation, to update the forward-looking statements except as otherwise required by applicable law.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
