Exhibit 10.7

CANADIAN INTELLECTUAL PROPERTY SECURITY AGREEMENT

This Canadian Intellectual Property Security Agreement (as amended,
supplemented, restated, extended, renewed, or replaced from time to time, this
“Agreement”) dated June 30, 2015, granted by Mad Catz Interactive, Inc.
(“Parent”) and 1328158 Ontario Inc. (“MCC” and, together with Parent, the
“Debtors” and each a “Debtor”) in favour of NewStar Business Credit, LLC, a
Delaware limited liability company, as Administrative agent (together with its
successors and assigns, the “Secured Party”) for the benefit of the Lenders (as
defined in the security agreement referred to below).

RECITALS:

WHEREAS, pursuant to the Canadian Security Agreement, dated as of the date
hereof (as amended, restated, supplemented, or otherwise modified, the “Security
Agreement”), the Debtors have granted security interests in favour of the
Secured Party;

AND WHEREAS, the Secured Party may wish to record this Agreement with the
Canadian Intellectual Property Office (“CIPO”);

THEREFORE, for good and valuable consideration, the receipt and adequacy of
which are acknowledged, the Debtors hereby agree with the Secured Party as
follows:

SECTION 1. Defined Terms.  Initially capitalized terms used but not defined in
this Agreement have the same meanings as in the Security Agreement.

SECTION 2. Grant of Security Interest in Intellectual Property.  As continuing
security for the payment and performance of each Debtor’s respective Secured
Obligations, each Debtor hereby grants to the Secured Party, for the benefit of
the Lenders, a continuing, specific and fixed security interest (the “IP
Security Interest”) in all such Debtor’s right, title and interest in, to and
under all of the following intellectual property rights of such Debtor:

 

  (a)

the trademarks and trademark licenses to which it is a party (collectively, the
“Trademarks”) and all goodwill of the business connected with the use of, and
symbolized by, each Trademark, which are listed on Schedule A attached hereto;

 

  (b)

the patents, industrial designs, patent licenses and industrial design licenses
to which it is a party (collectively, the “Patents”) and all divisionals,
continuations, continuations, continuations-in-part, reissues, reexaminations or
extensions of the Patents, which are listed on Schedule B attached hereto;

 

  (c)

the copyrights of such Debtor and copyright licenses pursuant to which such
Debtor is an exclusive licensee (collectively, the “Copyrights”), which are
listed on Schedule C attached hereto; and

 

  (d)

any other proprietary rights and intellectual property of each Debtor, including
without limitation, formulations, manufacturing procedures, quality control
procedures and product specifications relating to any products sold under the
Patents, Copyrights, Trademarks and domain names of each Debtor

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(collectively, the “IP Collateral”).

SECTION 3. Security Agreement.  The IP Security Interest is granted in
conjunction with the security interests granted pursuant to the Security
Agreement, and each Debtor hereby acknowledges and affirms that the rights and
remedies of the Secured Party, on behalf of the Lenders, with respect to the IP
Security Interest in the IP Collateral are more fully set forth in the Security
Agreement, the terms and provisions of which are incorporated by reference
herein as if fully set forth herein.

SECTION 4. Termination.  Upon termination of the commitments in respect of all
Secured Obligations and full and final payment and performance of the Secured
Obligations, the Secured Party shall, upon request in writing by the Debtors and
at the expense of the Debtors, cancel and discharge the IP Security Interest and
execute and deliver to the Debtors such documents as shall be requisite to
discharge the IP Security Interest.

SECTION 5. Governing Law.  This Agreement is a contract made under and shall be
governed by and construed in accordance with the laws of the Province of Ontario
and the federal laws of Canada applicable in the Province of Ontario without
prejudice to or limitation of any other rights or remedies available under the
laws of any jurisdiction where property or assets of any Debtor may be found.

SECTION 6. Assignment.  The Secured Party may assign all of its rights and
obligations under this Agreement. No Debtor shall assign this Agreement or any
of its rights or obligations under this Agreement. This Agreement shall enure to
the benefit of the Secured Party and its successors (including any successor by
reason of amalgamation) and assigns and shall be binding on each Debtor, and its
successors (including any successor by reason of amalgamation).

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IN WITNESS OF WHICH, the Debtors and Secured Party have duly executed this
Agreement:

DEBTORS:

 

MAD CATZ INTERACTIVE, INC.

 By:

 

  /s/ Darren Richardson

 

  Name: Darren Richardson

  Title: President & CEO

1328158 ONTARIO INC.

 By:

 

  /s/ Darren Richardson

 

  Name: Darren Richardson

  Title: President & CEO

 

   Canadian Intellectual Property Security Agreement – Parent and MCC

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SECURED PARTY:

 

NEWSTAR BUSINESS CREDIT, LLC

 By:

 

  Greg Gentry

 

  Name: Greg Gentry

 

  Title: SVP

 

   Canadian Intellectual Property Security Agreement

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SCHEDULE A

TRADE-MARKS

MAD CATZ INTERACTIVE, INC.: REGISTERED TRADEMARKS AND PENDING TRADEMARK
APPLICATIONS

 

Owner    Trademark Description    Registration Number

 

Mad Catz Interactive, Inc.    

  

 

LOGO [g937955g91b06.jpg]

 

  

 

1609364 (Application)

 

Mad Catz Interactive, Inc.    

  

 

LOGO [g937955g56q70.jpg]

 

  

 

1609363 (Application)

1328158 ONTARIO INC.: REGISTERED TRADEMARKS AND PENDING TRADEMARK APPLICATIONS

 

Owner    Trademark Description    Registration Number 1328158 Ontario Inc.   
Previously Played    TMA545102 1328158 Ontario Inc.    Play it! Previously
Played    TMA497236 1328158 Ontario Inc.    Games Trader    TMA428847 1328158
Ontario Inc.   

Play it Cool with Previously

Played

   TMA497235

 

   Canadian Intellectual Property Security Agreement

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SCHEDULE B

PATENTS

MAD CATZ INTERACTIVE, INC.: ISSUED PATENTS AND PENDING PATENT APPLICATIONS

Nil.

1328158 ONTARIO INC.: ISSUED PATENTS AND PENDING PATENT APPLICATIONS

Nil.

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SCHEDULE C

COPYRIGHTS

MAD CATZ INTERACTIVE, INC.: COPYRIGHT REGISTRATIONS AND PENDING COPYRIGHT
APPLICATIONS

Nil.

1328158 ONTARIO INC.: COPYRIGHT REGISTRATIONS AND PENDING COPYRIGHT APPLICATIONS

Nil.