Company: GCL
Filing Date: 2025-04-08
Form Type: 424B3
Source: 0001213900-25-029989
Chunk: 268

Company: GCL Global Holdings Ltd
Filing Date: 2025-04-08
Form: 424B3
Chunk 268
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, and identifiable intangible assets acquired, in Martiangear through using
income approach based on a number of factors including in the valuations from the third-party appraiser. The significant assumption being
used by the Company includes revenue forecast and discount rate. Acquisition-related costs incurred for the acquisitions are not material
and have been expensed as incurred in general and administrative expense.

The fair value of the licenses and trademarks was
estimated using a relief-from-royalty method. This method calculates fair value by assuming that if the licenses and trademarks were to
be acquired from third-party owners, a royalty rate on revenue would be charged for the privilege of using the assets. Consequently, the
fair value of the licenses and trademarks represents the present value of the after-tax royalties saved as a result of owning the legal
right to utilize them.

The goodwill is not deductible for income tax purposes
and is related primarily to the expected synergies from combining the operations into the Company’s business operation in console
game.

— Acquisition of 2Game

On July 31, 2022, the Company, through its
100% owned subsidiary, GCL Global SG, entered into a share purchase agreement (the “SPA”) with three unrelated parties to
acquire a 51% equity interest in 2Game. 2Game, incorporated in Hong Kong, primarily engages in the distribution of game codes and other
related consumer items. Pursuant to the SPA, the Company is obligated to an aggregate of up to $6,120,000 consideration which consist
of following five tranches to the aforementioned three parties upon certain conditions are met.

| ● | Tranche 1 — A cash consideration                                         
 of $6,550 is to be paid upon the completion of the acquisition of 2Game. |

| ● | Tranche 2 — A consideration of                                                                                                
 $2,993,450, comprised of 67% in cash and 33% in shares, is to be issued upon the successful listing on the US capital market. |

| ● | Tranche 3 — A consideration of                                                                                                      
 $800,000, comprising 67% in cash and 33% in shares, is to be paid upon 2Game’s achievement in a gross revenue target of $19,400,000 
 and a Net Profit After Tax (NPAT) of $714,273 for the fiscal year ending March 31, 2023.                                            |

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