Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 19

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 19
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 be determined
by the Company from time to time, which may include, among other things, market conditions, the trading price of the Company’s
Common Stock and determinations by the Company as to the appropriate sources of funding for our business and operations.

The
SEPA contains customary representations, warranties, conditions and indemnification obligations of the parties. The representations,
warranties and covenants contained in such agreements were made only for purposes of such agreements and as of specific dates, were solely
for the benefit of the parties to such agreements and may be subject to limitations agreed upon by the contracting parties.

King
Street CD

On
June 21, 2024, the Company received a notice from King Street Partners LLC (“King Street”), the holder of a 12.75% 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