Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 1172

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 8
Chunk 1172
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 ASU No 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU
2023-07”). ASU 2023-07 is intended to improve reportable segment disclosure requirements primarily through enhanced disclosures
about significant segment expenses. The provisions of ASU 2023-07 are effective for fiscal years beginning after December 15, 2023, and
interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The guidance will be applied retrospectively
to all periods presented in the financial statements. ASU 2023-07 will be applicable for the Company’s financial statements for
the year ended December 31, 2024. Management is currently evaluating and understanding the requirements under this new standard.

    F-22

4.
Acquisitions and divestitures

(a)
Reverse acquisition of Engine Gaming and Media, Inc.

On
April 11, 2023, GSQ completed its plan of arrangement with Engine Gaming and Media, Inc. (“Engine”) resulting in Engine acquiring
100% of the issued and outstanding securities of GSQ.

Resulting
from the Arrangement, Engine acquired all issued and outstanding GSQ shares in exchange for 0.020655 of an Engine common share for each
GSQ share (the “Exchange Ratio”). Each outstanding option of GSQ was exchanged for an Engine option entitling the holder
to a number of Engine common shares, as adjusted on the basis of the Exchange Ratio, and be subject to exercise thereof in accordance
with the terms of the options, including payment of the exercise price, which will also be adjusted based upon the Exchange Ratio. All
other material terms of the options remained the same. Each outstanding restricted share unit of GSQ was exchanged for an Engine restricted
share unit entitling the holder to a number of Engine common shares, as adjusted on the basis of the Exchange Ratio. All other material
terms of the restricted share units remained the same. Each outstanding warrant of GSQ was adjusted pursuant to its governing contractual
instrument to entitle the holder to receive, upon due exercise, Engine common shares, adjusted on the basis of the Exchange Ratio.

At
completion of the Arrangement, Engine Gaming and Media, Inc. changed its name to GameSquare Holdings, Inc.

The
Arrangement was accounted for as a reverse acquisition, with GSQ being treated as the acquiring entity for accounting and financial reporting
purposes. Engine is