Company: LTRYW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024882
Chunk: 24

Company: Lottery.com Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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    Intangible assets 
     8,590,000 
  
    Goodwill 
     4,940,643 
  
    Total assets 
    $14,155,051 

    Accounts payable and other liabilities 
    $(387,484)
  
    Director’s
    Loan * 

    Customer deposits 
     (134,707)
  
    Related party loan 
     (417,017)
  
    Total liabilities 
    $(939,208)

    Total net assets of Acquirees 
    $13,215,843 

Goodwill
recognized in connection with the acquisition - is primarily attributed to an anticipated growing lottery market in Mexico that is expected
to be achieved from the integration of these Mexican entities. None of the goodwill is expected to be deductible for income tax purposes.

Following
are details of the purchase price allocated to the intangible assets acquired.

Schedule of Intangible Assets Acquired 

    Category 
    Fair Value 

    Customer relationships 
    $410,000 
  
    Gaming licensees 
     4,020,000 
  
    Trade names and trademarks 
     2,540,000 
  
    Technology 
     1,620,000 

    Total Intangibles 
    $8,590,000 

S&MI Ltd Acquisition

On September 1, 2024, the
Company finalized an agreement for the acquisition of S&MI, Ltd. (the “Share Purchase and Sale Agreement”), wherein
the Purchase Price was the total equivalent of One Million Dollars USD ($1,000,000.00) in restricted stock units of common shares in
the Company (the “Payment-In-Kind”) fixed at Three Dollars USD ($3.00) per share (the “Fixed Price”). The
Purchase Price is to be paid out over five payments on the following schedule: The first payment of $150,000 in restricted
common stock (50,000 shares) of the Company is due and payable on September 1, 2024 (the “Completion Date” the
“First Issuance Date”). The remaining payments in restricted common stock to the shareholders of S&MI Ltd. by the
Company will be made as follows: (i) a second payment of $212,500 (70,833 shares) due on or before the 31st day following
ninety days after the Completion Date (the Second Issuance Date”); (ii) a third payment, of $212