Jackpot Digital’s Plan of Arrangement Receives Final Court Approval and Jackpot Sets Record Date of the Spinout
Jackpot Digital Inc. has received final approval from the Supreme Court of British Columbia for the spinout of its online gaming assets to its subsidiary Yo Eleven Gaming Inc.. Shareholders will receive one Yo Eleven common share for every five Jackpot shares held, with the record date set for November 1, 2021. The ex-distribution date is October 29, 2021. Additionally, Jackpot issued 124,967 common shares at $0.28 each to settle $34,990.96 in accrued interest to debenture holders, subject to a hold period expiring December 24, 2021.
- Final approval received for the spinout of online gaming assets to Yo Eleven Gaming.
- Shareholders benefit from the share distribution at a favorable ratio.
- Issuance of common shares for interest settlement could dilute existing shareholders.
VANCOUVER, BC / ACCESSWIRE / October 8, 2021 / Jackpot Digital Inc. (the "Company" or "Jackpot") (TSXV:JJ)(TSXV:JJ.WT.A)(TSXV:JJ.WT.B)(TSXV:JJ.WT.C)(OTCQB:JPOTF)(Frankfurt & Berlin Exchanges:LVH3). Further to the Company's news release dated September 16th, 2021, Jackpot is pleased to report that it has received the final approval from the Supreme Court of British Columbia for the spinout of its online gaming assets to its wholly owned subsidiary Yo Eleven Gaming Inc. ("Yo Eleven") by a plan of arrangement pursuant to the British Columbia Business Corporations Act (the "Spinout").
In accordance with the terms of the Spinout, as consideration for the transfer by Jackpot of its online gaming assets, Yo Eleven will issue to Jackpot shareholders one (1) Yo Eleven common share for every five (5) Jackpot common shares held.
Jackpot has set November 1, 2021 as the record date for the Spinout. Jackpot shareholders that own the Company's common shares as of the market close on Thursday October 28, 2021 will be shareholders of record as of November 1, 2021 (the "Record Date") and will be eligible to receive Yo Eleven common shares from the Spinout distribution.
The ex-distribution date and record date shall be as follows:
Ex-Distribution Date: October 29, 2021
Record Date: November 1, 2021
No fractional shares of Yo Eleven will be distributed to Jackpot shareholders and, as a result, all fractional amounts arising under the Arrangement will be rounded down to the nearest whole number without any compensation therefor.
For more information regarding the Spinout and Yo Eleven, please refer to the Company's Management Information Circular which is available under the Company's profile on SEDAR at www.sedar.com and also on the Company's website at www.jackpotdigital.com.
Additionally, and further to the Company's news release dated June 30th, 2021, the Company has issued 124,967 Jackpot common shares at a deemed price of
About Jackpot Digital Inc.
Jackpot Digital Inc. is a leading electronic table games manufacturer and mobile gaming provider for the cruise ship industry and regulated casino industry. The Company specializes in multiplayer gaming products, including poker and casino games, which are complimented by a robust suite of backend tools for operators to efficiently control and optimize their gaming business.
For more information on the Company, please contact Jake H. Kalpakian, President and CEO, at (604) 681-0204 ext. 6105, or visit the Company's website at www.jackpotdigital.com.
On behalf of the Board of
Jackpot Digital Inc.
"Jake H. Kalpakian"
_____________________________
Jake H. Kalpakian
President & CEO
Trading in the securities of the Company should be considered speculative.
The TSX Venture Exchange has neither approved nor disapproved the contents of this news release.
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 news release.
Certain statements contained herein are "forward-looking" such as the Company's proposed spin-out of its online gaming software assets to Yo Eleven. Forward-looking statements may include, among others, statements regarding future plans, costs, objectives, economic or technical performance, or the assumptions underlying any of the foregoing. In this News Release, words such as "may", "would", "could", "will", "likely", "enable", "feel", "seek", "project", "predict", "potential", "should", "might", "objective", "believe", "expect", "propose", "anticipate", "intend", "plan", "estimate", and similar words are used to identify forward-looking statements. Forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those expressed or implied. Although management believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, projections and estimations, there can be no assurance that these assumptions, expectations, projections or estimations are accurate. Readers, Shareholders and Investors are therefore cautioned not to place reliance on any forward-looking statements as the plans, assumptions, intentions or expectations upon which they are based might not occur.
SOURCE: Jackpot Digital Inc.
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FAQ
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