Stompy Bot Enters into Binding Agreement to Complete Blockchain Acquisition
Saint John, New Brunswick--(Newsfile Corp. - December 14, 2017) - Stompy Bot Corporation (CSE: BOT) ("Stompy Bot" or the "Company") is pleased to announce today that, further to its news release dated November 2, 2017, it has entered into a definitive binding agreement (the "Agreement") to acquire (the "Acquisition") all of the issued and outstanding securities of Token Play Inc. ("Token"), a private Ontario corporation headquartered in Toronto, for $2.95 million in an all stock deal to be satisfied by the issuance of: (i) 59 million common shares (each, a "Common Share") of Stompy Bot at an issuance price of $0.05 per share; and (ii) 18,987,379 common share purchase warrants (each, a "Warrant") with each Warrant entitling the holder thereof to acquire one (1) common share in the capital of the Company at a price of $0.10 per share for two (2) years from the date of issue.
Following completion of the Acquisition, Token will become a wholly-owned subsidiary of Stompy Bot. Token is a technology company involved in the development of blockchain technology in the video game space which will seek to provide a platform for the exchange of in-game currencies and tokens. Token does not currently have any revenue.
In connection with the Acquisition, the Company has agreed to pay a finder's fee to First Canadian Capital Corp., to be satisfied through the issuance of 1,400,000 common shares of Stompy Bot.
Closing of the Acquisition is expected to occur on or around December 20, 2017.
About Stompy Bot
Stompy Bot is an independent video game developer and digital media publisher. Stompy Bot's growth strategy is to become a premier independent multimedia publisher. Stompy Bot's indie philosophy is to identify and acquire unique video game properties, apply innovative technologies, game development expertise, partner with movie studio resources and manage entertainment brands through a global media marketing approach. Stompy Bot is the exclusive Heavy Gear digital games license holder and publisher of Heavy Gear Assault, a next generation PC title using Epic Game's latest Unreal Engine 4 technology. For more information visit www.stompybot.com.
For further information, please contact:
Stompy Bot Corporation
Certain information set forth in this news release may contain forward-looking information that involve substantial known and unknown risks and uncertainties. This forward-looking information is subject to numerous risks and uncertainties, certain of which are beyond the control of the Company, including, but not limited to, the impact of general economic conditions, industry conditions, failure to enter into a definitive agreement and complete the Acquisition, and dependence upon regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking information. The parties undertake no obligation to update forward-looking information except as otherwise may be required by applicable securities law.