Golden Matrix Group Provides Update on Pending MeridianBet Group Acquisition

The acquisition aims to create a formidable presence in the online gaming industry, with operations spanning across Europe, Africa, and Latin America.

Amendment to Purchase Agreement

On September 27, 2023, GMGI and the owners of MeridianBet entered into a First Amendment to Amended and Restated Purchase Agreement. This amendment introduced several modifications to the existing agreement, including an extension of the required closing date.

Additionally, it altered the financial closing terms of the previously announced definitive agreement. Notably, the revised terms permit the use of up to $20 million of cash-on-hand from MeridianBet Group to partially cover the $30 million cash payment due to Golden Matrix at the transaction’s closing, subject to the sole discretion of the sellers.

Financial Support for Acquisition

To support the acquisition, Golden Matrix filed a Current Report on Form 8-K on September 29, 2023, disclosing certain presentations used to secure funding for the transaction. These filings underscore the significance of the merger and reflect both companies’ commitment and capability to complete the transaction successfully.

Golden Matrix’s CEO, Anthony Brian Goodman, highlighted the robust year-to-date revenue growth of the MeridianBet Group compared to the previous year. He said “These recent filings reinforce the importance of this strategic acquisition, and demonstrate both companies’ willingness and ability to close the transaction. The amendment allowing GMGI and the sellers to use up to $20 million of the MeridianBet Group’s cash-on-hand at closing (subject to the sole discretion of the sellers), not only provides the Company with potential greater flexibility on financing, but we believe also demonstrates the sellers’ confidence in the value of creating a combined entity capable of being greater than the sum of its parts.”

Golden Matrix anticipates filing the necessary proxy statement with the Securities and Exchange Commission (SEC) to request shareholder approval for the issuance of common stock related to the transaction. The acquisition is expected to close in either the fourth quarter of 2023 or the first quarter of 2024, subject to customary closing conditions, including GMGI shareholder approval and any Nasdaq approval, as required.

This strategic acquisition is poised to reshape Golden Matrix Group’s presence in the global online gaming industry, offering substantial growth potential and value to its stakeholders.