Company: GCL
Filing Date: 2025-04-03
Form Type: F-1
Source: 0001213900-25-028608
Chunk: 352

Company: GCL Global Holdings Ltd
Filing Date: 2025-04-03
Form: F-1
Chunk 352
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 converted into
part of this minimum guarantee, serving to secure the financial commitments outlined in the publishing arrangement.

In November 2024,
GCL Global, Nekcom and certain significant shareholders of Nekcom entered into a Series B Preferred Stock Purchase Agreement (the
“Nekcom SPA”) pursuant to which, among other things, (i) Nekcom has agreed to enter into a publishing agreement with
GCL Global (the “Nekcom Publishing Agreement”) appointing the Company or any of its designated subsidiaries as Nekcom’s
exclusive global publisher and distributor of Showa American Story; and (ii) the Company has agreed to purchase a number of
Nekcom’s Series B Preferred Stock that would constitute 20% of the total outstanding shares of Nekcom for an aggregate purchase
price of $15,000,000 consisting of (a) $7,500,000 in cash, and (b) $7,500,000 in GCL Global ordinary shares. On December 18,
2024, the Nekcom Publishing Agreement was signed, appointing 4Divinity as the exclusive global publisher and distributor of the game Showa American Story.

In connection
with the Nekcom SPA, 262,325 ordinary shares of GCL Global (the “Nekcom Consideration Shares”) and an additional 262,325 ordinary
shares of GCL Global (the “Nekcom Additional Consideration Shares”) were issued in the name of Nekcom on December 18,
2024 but held in escrow until Full Recoupment Date (as defined in the Publishing Agreement) when they will be released to either Nekcom
or the Company depending on the value of Nekcom Consideration Shares (the “Consideration Shares VWAP”) based on the volume
weighted average price of the Consideration Shares over thirty (30) trading days immediately preceding the Full Recoupment Date. If the
Consideration Shares VWAP exceeds $7,500,000, all Nekcom Consideration Shares will be released to Nekcom, and all Nekcom Additional Consideration
Shares will be returned to GCL Global for cancellation. In the event that the Consideration Shares VWAP is below $7,500,000 but exceeds
$1,200,000, Nekcom will receive such number of Nekcom Additional Consideration Shares from the escrow account that would make up the shortfall,
with the balance returned to the Company for cancellation. If