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Gamesquare Esports GMSQF

Gamesquare Esports Inc is an international esports company. It is seeking to acquire additional assets and entities serving the esports market and, more broadly, in sports and entertainment. The company's acquisition of Code Red, an esports talent agency, provided an initial foothold in Europe through its UK operations.The business is comprised of two operating segments: teams and agency services. The company's teams segment represents its esports teams, which generate revenue through sponsorship, prize, and player-related revenue. The company's agencies generate revenue through talent management, influencer promotional fees, and consulting.


OTCQB:GMSQF - Post by User

Comment by foundalphaon Apr 05, 2022 11:11am
175 Views
Post# 34576695

RE:--------OVER 1 BILLION SHARES OUTSTANDING R they............

RE:--------OVER 1 BILLION SHARES OUTSTANDING R they............
goldman17 wrote: 'NUTS'-imho


I think you did your math incorrectly. As of March 14, 2022 (date of the short form base shelf prospectus), GSQ had 244,381,900 shares outstanding. Their prospectus allows for raising up to $35 million of shares+warrants at the market price. If they did a one+one deal at $0.15/share/warrant they'd still be under half a billion o/s.

Your point isn't lost however... lots of shares outstanding. But it doesn't really matter if you look at the enterprise value of the pie. No matter how you slice the pie (lots or few shares o/s) you still have the whole pie. For what it's worth, I think the enterprise value of this pie should be significantly higher. Great management, great sector, great corporate operational framework already in place, deep-pocketed and recognizable major shareholders. The stock has traded like a dog for the better part of 6 or 9 months. Hopefully it turns around. Tough to be patient but I suspect very much worth it.
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