TGS Esports Announces Filing of Annual Financials and Provides Corporate Update

Rhea-AI Summary

TGS Esports Inc. (TGSEF) has filed its annual financial statements for the year ending June 30, 2021, after facing a cease trade order due to a missed deadline. The revocation of the CTO is anticipated soon, allowing shares to resume trading on the TSX Venture Exchange. CEO Spiro Khouri highlights the company's aggressive growth strategy through acquisitions, which has resulted in larger partnerships and increased revenue. Key successes include Pepper Esports' user growth, sold-out events by Even Matchup Gaming, and the launch of the Collegiate Champions Series.

Positive

• Filed annual financial statements for the year ended June 30, 2021.
• Anticipation of CTO revocation, allowing shares to resume trading.
• Successful growth strategy focused on acquisitions leading to increased revenue.
• User base growth at Pepper Esports exceeding 3000 users.
• Sold-out event by Even Matchup Gaming with 900+ players.
• Engagement in the Collegiate Champions Series with 400+ students.

Negative

• Extended audit process due to aggressive growth strategy causing delays.
• Potential uncertainty regarding the timely revocation of the CTO.

VANCOUVER, BC, Dec. 16, 2021 /PRNewswire/ - TGS Esports Inc. ("TGS" or the "Company") (TSXV: TGS) (OTCQB: TGSEF) (FRA: 5RH) wishes to announce, further to its news release dated November 4, 2021, that the Company has filed its annual financial statements for the year ended June 30, 2021 and the related management discussion and analysis and certifications (collectively, the "Annual Filings").  The Company has commenced the process for revocation of the cease trade order (the "CTO") issued by the British Columbia Securities Commission for the Company's failure to file the Annual Filings by the October 28, 2021 filing deadline. The revocation of the CTO is expected to occur shortly, at which time TGS' common shares shall resume trading on the TSX Venture Exchange.

The Company is also working on preparing its interim financial statements, management discussion and analysis and related certifications for the three month period ended September 30, 2021 (the "Interim Filings").

"From the day we went public we had an aggressive corporate growth strategy, mostly focused on acquisitions and investments. The goal was to build a unique esports offering that would drive significant revenue. We have succeeded in our strategy which has ultimately led to larger partnerships and increased revenue in the current fiscal year." said Spiro Khouri, CEO of TGS Esports Inc. "Unfortunately due to the aggressiveness of our strategy it made the audit process much more complex and detailed than in previous years causing the delay. We are excited to have the audit complete and to get back to focusing on driving revenue."

The acquisitions and investments have provided tremendous success thus far and TGS is pleased to share some highlights of each company:

• Pepper Esports launched the initial alpha release of its gaming platform in September and is hosting tournaments regularly. The user base has grown to 3000+ users
• Even Matchup Gaming announced Let's Make Big Moves, taking place in New York in January, which sold out in a matter of days and will have 900+ players in attendance
• Even Matchup Gaming also relaunched its in person events, Revenge of the 6ix and Weekly Wave, in Toronto
• Volcanic launched the Collegiate Champions Series, a six month series of events and workshops open to any post-secondary student in Canada. So far the series has interacted with 400+ students and 25+ schools
• Mountain Side Games ("MSG") is hosting in person events focused on gaming as well as health and wellness initiatives in and around Vancouver. MSG has interacted with 1500+ participants through these events

TGS is able to reach thousands of gamers through events, tournaments, and broadcasts. This broad offering is already being recognized by major brands through partnerships with TGS. To support the ongoing demand TGS is scaling up its Sales & Marketing teams including hiring two senior roles currently open for application.

TGS also announces that Ravinder Mlait has resigned from the Board. The Company would like to thank Mr. Mlait for his service and dedication to the Company and its shareholders. We wish Mr. Mlait all the best in his future endeavors.

About TGS Esports Inc.

TGS partners with Fortune 500 brands, schools, and tournament organizers to build out their esports community via tournaments, broadcast production, and events. TGS has commercialized an esports solution that allows brands and gamers to interact on its end to end platform. The combination of TGS esports event expertise and next generation software creates an unparalleled esports experience that allows sponsors and brands to reach their desired gaming demographic.

On behalf of the Board of Directors
Spiro Khouri, CEO
TGS Esports Inc.

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future, including without limitation statements regarding the business plans of the Company, the revocation of the CTO, filing of the Interim Filings and the timing thereof. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including risks related to factors beyond the control of the Company. The risks include the following: the risks that the CTO may not revoked, or may take longer than expected to be revoked; the risk that the Interim Filings may not be filed by the requisite filing deadline; the unknown magnitude and duration of the effects of the COVID-19 pandemic on the Company and other risks that are customary to transactions of this nature. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them.

Neither 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.

View original content:https://www.prnewswire.com/news-releases/tgs-esports-announces-filing-of-annual-financials-and-provides-corporate-update-301446782.html

SOURCE TGS Esports Inc

FAQ

What recent financial filings did TGS Esports announce?

TGS Esports announced the filing of its annual financial statements for the year ended June 30, 2021.

What is the current status of TGS Esports' cease trade order?

TGS Esports is in the process of revoking the cease trade order, with an expectation that it will be lifted soon.

How has TGS Esports' growth strategy impacted its revenue?

TGS Esports' aggressive growth strategy focused on acquisitions has led to larger partnerships and increased revenue.

What events have contributed to TGS Esports' success recently?

Recent successes include user growth at Pepper Esports and sold-out events by Even Matchup Gaming.

What challenges did TGS Esports face in its financial filings?

The company faced delays in its audit process due to the complexity of its aggressive growth strategy.