Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 402

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 2
Chunk 402
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.75% Convertible
Senior Secured Note with a principal amount of $5,800,000 dated December 29, 2023. The notice objected to the Company’s ability
to maintain its 51% economic interest in FaZe Media, Inc. and other related matters.

As
a result, King Street requested the immediate repayment of the full principal amount, along with any premiums and accrued interest.

On
October 1, 2024, the Company entered into a Settlement and Release Agreement with King Street pertaining to the King Street Note.

On
July 10, 2024, the Company paid down the outstanding principal and accrued interest on the King Street CD of $5.7 million.

Frankly
Media asset disposal

On
May 31, 2024, the Company, through its wholly owned subsidiary Frankly Media LLC (“Frankly”), entered into an Asset Purchase
Agreement (the “UNIV APA”) to sell the producer content management software platform and associated software technology (“CMS
Assets”) of Frankly to UNIV, Ltd (“UNIV”) (the “UNIV Asset Sale”).

Pursuant
to the UNIV APA, UNIV paid the Company aggregate purchase consideration with a transaction closing date fair value of $1.2 million in
exchange for the CMS Assets, including $25 thousand paid in cash upon closing of the transaction and issuance of a secured subordinated
promissory note (the “UNIV Note”) with a transaction closing date fair value of $1.2 million. The UNIV Note was valued using
a discount rate of 13.7% (Level 3).

Additionally
on May 31, 2024, the Company, through its wholly owned subsidiary Frankly, entered into an Asset Purchase Agreement (the “XPR APA”)
to sell the press release and content distribution service assets (the “PR Assets”) of Frankly to XPR Media LLC (“XPR”)
(the “XPR Asset Sale” and, collectively with the UNIV Asset Sale, the “Frankly Asset Sales”).

Pursuant
to the XPR APA, XPR paid the Company aggregate purchase consideration with a transaction closing date fair value of $0.6 million in exchange
for the PR Assets, including $10.5 thousand paid in cash upon closing of the transaction and issuance of a secured subordinated promissory
note (the “XPR Note”) with a transaction closing date fair value of $0.5 million