ESE Entertainment CEO Provides Corporate Update After Strategic Partnership and Capital Injection

Comprehensive Growth Strategy, Reinforcing Strength Across All Business Units

VANCOUVER, BC / ACCESSWIRE / August 29, 2023 /ESE Entertainment Inc. (TSXV:ESE)(OTCQX:ENTEF) ("ESE" or the "Company"), a gaming company that provides a range of services to leading video game developers and publishers, wishes to provide a corporate update on its growth strategy ahead. Following the strategic partnership and recent capital injection from the sale of a 70% stake in the Company's subsidiary, GameAddik, ESE's vision includes invigorating its foundational business units while integrating new technologies into gaming.

The gaming sector stands as one of the most dynamic and thriving industries globally, with gaming being one of the world's fastest-growing forms of entertainment. At ESE, we're steadfast in our belief that gaming will continue to grow within the areas of entertainment, such as music, traditional sports, and more. We want to be on the forefront of creating and deploying the services and technology that allow game developers to reach more users and create better games.

ESE aims to be one of the most active and prolific companies in the gaming industry - by using its technology and expertise to play a key role in the long-term development of the global video game sector.

ESE's Strategic Vision for the Remainder of 2023:

• New Capital Injection: On August 16, 2023, ESE announced that it completed the sale of 70% of the issued and outstanding shares of the Company's wholly-owned subsidiary, 9327-7458 Quebec Inc. DBA GameAddik ("GameAddik") for an aggregate purchase price of $9,100,000 in cash, subject to customary adjustments. The remaining 30% of the issued and outstanding shares of GameAddik will be retained by the Company.
• Global Expansion: ESE is extending its footprint into the Middle East with the planned opening of a Dubai office, emphasizing our commitment to tapping into gaming's fastest growing region in the world. The Middle East has seen investments from the Savvy Games Group, a company which is owned by Saudi Arabia's Public Investment Fund (PIF), totaling nearly $40 billion, and ESE wants to leverage its expertise and services to increase sales in this region.
• Continued Growth in North America: ESE is continuing to expand in North America with strategic partnerships and will continue to deliver its technology and services to existing and new clients in North America.
• Focus on Large Scale Customers and Partnerships: Building on our existing customer relationships, ESE plans to further solidify its business by signing large scale partners and continuing to scale with existing customers. To date, ESE's customers have included Ubisoft, Electronic Arts, Riot Games, Opera, and more. The Company intends to focus on large scale partnerships and customers in the period ahead.
• Innovative AR/VR Utilization: ESE is channeling significant resources into its media production subsidiary, Frenzy, leveraging the potential of AR/VR through a dedicated new studio and emphasizing AI-powered immersive experiences. Beyond gaming, we are branching out to incorporate AR/VR in diverse facets of entertainment, bringing immersive experiences to broader audiences. This development seeks to redefine user engagement and enhance interactivity across platforms.
• AI-Powered Production: Recognizing the transformative potential of artificial intelligence (AI), ESE is harnessing its capabilities to improve its services and technology for video game developers. The Company will utilize AI to increase quality and efficiency in media production for its operations.
• GameAddik Ownership: ESE owns a 30% stake in GameAddik and will continue to benefit from the development and success of this business unit. ESE also now has a strategic partnership with BlackPines, and with certain GameAddik clients.

Konrad Wasiela, CEO of ESE, said, "The Company is focused on driving it's value and growth across the world by providing tools and services that allow video game developers to reach more users and provide more content in this fast-paced, high growth sector."

"While the equity markets present their unique challenges, especially for smaller cap entities, we are confident that the intrinsic value of our concerted efforts and diverse portfolio of services will shine through. The strategic decisions we're making, such as a non-dilutive cash injection through the sale of a stake in GameAddik, allow us to refocus our energy on areas ready for growth. As we start deploying AI, AR/VR, and other cutting-edge tech, we're keenly focused on applying its use for real business performance improvements. I'm confident that, in due course, our stakeholders will see the results of our endeavors."

Wasiela concluded, "As the CEO of ESE Entertainment, my confidence is unwavering as I continue to accumulate stock and increase my shareholding. Our team has delivered and will continue to deliver as we look to capitalize on the latter part of the year, which tends to be the strongest in gaming. We look forward to providing shareholders with exciting news and updates in the coming months."

ESE Entertainment Inc.
Konrad Wasiela
Chief Executive Officer and Director
+1 (437) 826-4012

About ESE Entertainment Inc.
ESE is a global technology company focused on gaming. The Company provides a range of services to leading video game developers, publishers, and brands by providing technology, infrastructure, and fan engagement services internationally. ESE also operates its own ecommerce channels, esports teams, and gaming leagues. www.esegaming.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION
This news release contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that ESE anticipates or expects may or will occur in the future (in whole or in part) should be considered forward-looking information. Such information may involve, but is not limited to, statements with respect to: ESE's growth strategy and ability to execute on the same; ESE's deployment of AI, AR/VR, and other new technologies; ESE's role in the development of the global video game sector; ESE's proposed expansion into the Middle East; ESE's plans to sign large scale partners; and ESE's performance in the latter half of 2023. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or statements formed in the future tense or indicating that certain actions, events or results "may", "could", "would", "might" or "will" (or other variations of the forgoing) be taken, occur, be achieved, or come to pass. Forward-looking information is based on currently available competitive, financial, and economic data and operating plans, strategies or beliefs as of the date of this news release, but involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of ESE to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information, including that the Transaction may not be completed or that ESE may not realize the expected benefits of the Transaction. Such factors may be based on information currently available to ESE, including information obtained from third-party industry analysts and other third-party sources, and are based on management's current expectations or beliefs regarding future growth, results of operations, future capital (including the amount, nature and sources of funding thereof) and expenditures. Any and all forward-looking information contained in this press release is expressly qualified by this cautionary statement. Trading in the securities of ESE should be considered highly speculative.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information about ESE, please contact:
investors@esegaming.com

SOURCE: ESE Entertainment Inc.