Company: GAME
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023589
Chunk: 136

Company: GameSquare Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 136
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5 
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    Contractual
    principal balances outstanding 
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    (1)
    None
    of the changes in fair value during the period were due to instrument-specific changes in credit risk.

    18

11.
Shareholders’ Equity

(a)
Description of the Company’s securities

The
Company is authorized to issue 100,000,000 common shares, par value $0.0001 per share, and 50,000,000 preferred shares, par value $0.0001
per share. Holders of common shares are entitled to one vote in respect of each common share held at shareholder meetings of the Company.

On
July 23, 2025, the board of directors of the Company approved a Certificate of Designation of Series A-1 Convertible Preferred Stock
of the Company (the “Certificate of Designation”) establishing the rights, preferences, powers, restrictions and limitations
of the Company’s newly authorized 3,433.33 shares of the Series A-1 preferred stock. The Certificate of Designation was filed with
the Secretary of State of the State of Delaware on July 24, 2025, and became effective upon filing.

The
Series A-1 preferred stock ranks senior to all junior securities, including common stock, and carries a $1.50 per share liquidation preference
on an as-converted basis. After satisfying this preference, each share of Series A-1 preferred stock will automatically convert into
1,000 shares of the common stock. The Series A-1 preferred stock has no voting rights and is equity classified.

On
August 1, 2025, the Board of Directors of the Company authorized a share repurchase program pursuant to which the Company may purchase
shares of common stock, par value $0.0001 per share up to $5,000,000 worth of Common Stock. Under the repurchase program, GameSquare
may purchase shares of its Common Stock on a discretionary basis from time to time through open market repurchases, in privately negotiated
transactions, or other means, including through Rule 10b5-1 trading plans. The timing and actual number of shares repurchased will be
determined by management depending on a variety of factors, including, among other factors, stock price, trading volume, market conditions
and