Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 181

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 181
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 at the time of acquisitions and September 30, 2024, using unobservable inputs and the undiscounted cash flow methodology. The key assumptions take into consideration the probability of meeting each performance target and the discount factor. As of the acquisition date of 2Game, the fair value of the contingent consideration for acquisition was determined to be approximately $3.4 million. Subsequently, the change of fair value of the contingent consideration for acquisition was amounted to a gain of approximately $0.3 million and loss of $0.7 million for the six months ended September 30, 2024 and 2023, respectively. As of September 30, 2024 and March 31, 2024, the contingent consideration for acquisition was amounted to approximately $3.4 million and $3.7 million, respectively.

Goodwill impairment

For the six months ended September 30, 2024 and 2023, management evaluated the recoverability of goodwill by performing qualitative assessment on its reporting units and determined that it is less likely than not that the fair value of the reporting unit is less than its carrying amount, and therefore, no impairment loss on goodwill was recognized for the six months ended September 30, 2024.

Recent Accounting Pronouncements

See Note 2 of the notes to the consolidated financial statements (incorporated by reference to Exhibit 99.1 to the Form 8-K filed by RF Acquisition Corp. on February 5, 2025) included elsewhere in this Report for a discussion of recently issued accounting standards.

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Warrants

The Company would receive the proceeds from any exercise of any outstanding Warrants that are exercised for cash pursuant to their terms. Assuming the exercise for cash of all of the 16,500,000 Warrants, consisting of 11,500,000 RFAC Warrants held by public shareholders, 4,450,500 RFAC Private Placement Warrants held by the Sponsor and 549,500 RFAC Private Placement Warrants held by EBC, the Company would receive an aggregate of approximately $189.75 million, but would not receive any proceeds from the resale of Ordinary Shares issuable upon such exercise. The Company will have broad discretion over the use of proceeds from the exercise of these securities. To the extent that any of these Warrants are exercised on a “cashless basis,” the amount of cash the Company would receive from the exercise of these securities will decrease. Any proceeds from the exercise of these securities