Good Gaming, Inc. Restructures Debt into Equity, Eliminating Outstanding Debt and Potential Derivative Liability Losses

Rhea-AI Summary

Good Gaming Inc. (GMER) announced a significant restructuring of debt held by its parent company, ViaOne Services, converting $2,682,337 of debt into preferred shares to improve its balance sheet. This move eliminates immediate dilution and is set to remove over $16 million in derivative liabilities. The decision coincides with the upcoming launch of the NFT game MicroBuddies™, which positions the company favorably for 2022. The increased equity stake taken by ViaOne Services demonstrates strong confidence in Good Gaming's future.

Positive

• Conversion of $2,682,337 debt into preferred shares strengthens balance sheet.
• Expected removal of over $16 million in derivative liabilities enhances financial health.
• Increased equity stake by ViaOne Services signals confidence in company's growth.

Negative

• None.

ViaOne Services Board of Directors Approve Debt Conversion And Take A Larger Equity Stake In Good Gaming Inc.

Kennett Square, PA, Dec. 16, 2021 (GLOBE NEWSWIRE) -- Good Gaming, Inc. (OTCQB: GMER) (the "Company") is pleased to announce the restructuring of all current debt held by its parent company ViaOne Services, into equity in the form of preferred shares of Good Gaming Inc.

Good Gaming Inc.'s Board of Directors voted to significantly reduce most of the Company's current and outstanding debt held by ViaOne Services by converting $2,682,337 worth of debt into convertible preferred shares. By converting its debt into preferred shares, the Company will eliminate any immediate dilution to the float and outstanding shares. In addition to removing most debt off its balance sheet, while also satisfying the outstanding convertible notes held by ViaOne Services, the Company expects over $16,508,750 of derivative liabilities, which were shown as a loss on its financial statements as of the end of the third quarter, to be removed off its balance sheet in the fourth quarter of 2021, or as soon as applicable. Combined with the recently closed PIPE (Private Investment in Public Entity) transaction, this strategic move by the Company will give it a much more robust and healthier balance sheet going into 2022.

"With the mainnet launch of our first-to-market NFT game MicroBuddies™ this Friday, ViaOne Services felt this was the perfect time to show GMER shareholders their commitment to the future of Good Gaming Inc. by increasing their equity position in the Company," stated David B. Dorwart, Good Gaming Inc. CEO. "While we recently completed a $3.1 million private placement and could have easily negotiated terms that would have allowed us the ability to use those proceeds to pay back debt, we collectively decided on a prudent and more strategic approach with ViaOne Services taking a larger long-term equity position in the Company. We believe these actions demonstrate their belief and commitment in Good Gaming Inc. going into 2022 and beyond."

About MicroBuddies™

Good Gaming, Inc. is in the final stages of preparation for the mainnet launch of its first-to-market collectible NFT game, MicroBuddies™, where players will be able to collect lovable, self-replicating microbes that passively produce their own in-game currency GOO™.

GOO™ can be used to replicate new MicroBuddies™ from existing ones and customize their genome using a strategic artificial selection process. Well-bred MicroBuddies™ will have a high rate of GOO™ production, so players who develop their skills will be able to create greater opportunities for themselves.

At the Polygon Mainnet launch of MicroBuddies™, a player will use their special Nano Factory Tokens to synthesize Generation 0 MicroBuddies™ and begin the game. The first 2,500 MicroBuddies™, collectively known as Generation 0, are expected to be the rarest and most scarce set of MicroBuddies™ and what the rest of the game will propagate from. If the Nano Factory Tokens sell out, or a player fails to purchase a Nano Factory Token prior to the launch of the game, the only way to acquire a MicroBuddy and play will be to first purchase one from another player on the secondary market at the fair market value.

To purchase MicroBuddies™ limited edition Nano Factory Tokens, go to:

https://microbuddies.io

We invite everyone to join our corporate-supported social media platforms to engage with one another, receive reliable, up-to-date, accurate information, and communicate in our Good Gaming, Inc. and MicroBuddies™ communities.

Official Game Documentation is available at:

https://docs.microbuddies.io

Visit us on our social media platforms: 

Discord: https://discord.gg/MicroBuddies

Telegram Group: https://t.me/microbuddiesio

Twitter: https://twitter.com/microbuddies, https://twitter.com/GOODGMER

Reddit: https://www.reddit.com/r/MicroBuddies/

Instagram: https://www.instagram.com/goodgmer/

Facebook: https://www.facebook.com/microbuddiesofficial/, https://www.facebook.com/GoodGMER, https://www.facebook.com/GoodGamingMC

Twitch: https://www.twitch.tv/goodgaminginc

YouTube Channel: https://www.youtube.com/channel/UC3YyoK_Xdo7sfPmse898Nog/

About Good Gaming:

Good Gaming is an innovative brand leading the gaming industry across multiple segments in the space since 2008. Beginning with our roots as a collaborative space for gamers to share their knowledge, we went on to establish ourselves as one of the leaders in hosting Hearthstone tournaments. In 2016, we expanded our reach to include establishing multiple Minecraft servers with some of the most popular versions of Prison and SkyBlock, then developing our completely custom-developed NFT blockchain game, MicroBuddies™, in 2021. The Good Gaming advantage comes from our development team's close relationship with the player communities of all of our games. The constant communication and resulting feedback further expand our proprietary content, and we continue to be influencers in the realm. Good Gaming continues to find exciting and innovative ways to branch across the gaming industry. As a staff and community, our goal is to cement our place as a fun and collaborative place for ALL gamers to enjoy.

For more information about Good Gaming, please visit our website:

https://www.good-gaming.com

Safe Harbor: This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Good Gaming Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential," and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Good Gaming Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Good Gaming, Inc.'s filings with the Securities and Exchange Commission , including those set forth as "Risk Factors" in such filings.

MEDIA CONTACT:

Public Relations and Shareholder Information:

Joseph M. Vazquez III

Phone: (888) 245-3005

Email: infinityglobalconsulting@gmail.com

FAQ

What is the recent debt restructuring involving Good Gaming Inc. (GMER)?

Good Gaming Inc. announced the conversion of $2,682,337 of debt from ViaOne Services into preferred shares, significantly improving its financial position.

How does the debt conversion affect Good Gaming Inc.'s (GMER) stock?

The debt conversion is designed to eliminate dilution and enhance the balance sheet, which is likely to have a positive impact on GMER's stock value.

What financial benefits are expected from the debt conversion for GMER?

Good Gaming expects to remove over $16 million in derivative liabilities, improving its overall financial health.

When is the mainnet launch of MicroBuddies™ happening?

The mainnet launch of the NFT game MicroBuddies™ is scheduled for December 17, 2021.

What does the increased equity stake by ViaOne Services mean for GMER?

The increased equity stake indicates strong confidence from ViaOne Services in the future growth and success of Good Gaming Inc.