Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 108

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 108
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 revenue of the respective periods.

Our Competitive Strengths

Multi-year distribution arrangements with international video game publishers and studios

We have forged multi-year deals with international video game publishers and studios such as Sega Corporation (“ Sega”), Take-Two Interactive Software UK Limited (“ Take-two”), CD Projekt S.A. (“ CDPR”) and Warner Bros. Games to sell select game titles (including Cyberpunk 2077, Grand Auto Theft V, NBA 2K24, The Witcher 3: the Wild Hunt, Hogwarts Legacy, and Mortal Kombat 1)within certain territories in Asia (e.g., Hong Kong, Indonesia, Malaysia, Philippines, Singapore, Taiwan and Thailand). Epicsoft Asia started distributing Sega© games in 2018. We continue to distribute popular Sega© game titles, including games under the Sonicfranchise, the Yakuzaseries and Persona 5in Asia.

Extensive distribution network

We have one of the largest distribution networks for video games in Asia through resellers with physical and online stores. We have over ten years of video games distribution and retail network management experience, and long-standing relationships with resellers with more than 2,100 online and offline stores. Some of these resellers operate e-commerce sites in Asia, such as Shopee, Lazada, and Taobao. Since July 2022, we also started selling and distributing activation keys to both resellers and consumers on our own digital platform, www.2game.com. There are currently more than 7,000 game titles available on 2Game’s platform. 2Game currently has more than 570,000 registered users and approximately 55.8% of 2Game’s revenue comes from Europe, with approximately 28.6% and the remaining 15.6% from Asia and the U.S., respectively. We have sold more than 9.0 million of physical and digital copies of videogames during the past three fiscal years.

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Based on Newzoo’s Global Games Market Report 2023 (October 2023), over 53% of the 3.38 billion gamers in the world in 2023 are from the Asia-Pacific region, thanks to huge markets like India and China and highly gaming-engaged countries like Japan and South Korea. Between 28.9% and 35.8% of PC gamers are based in Asia. Management believes that GCL Group’s leading position and track record in game distribution in Asia, and strong foothold