NTN Buzztime, Inc. (NTN) entered into a definitive sale agreement with eGames.com Holdings LLC to sell some of its assets.
Buzztime will be selling customer engagement, advertising technology, and social entertainment assets to eGames.com as part of the signed deal. The deal worth $2.0 million will be a fully cash transaction which is likely to be closing in the fourth quarter of 2020. The closing of the transaction is subject to satisfactory fulfillment or waiver of closing conditions.
The Pennsylvania-based eGames.com is a game development company that publishes casual personal computer games. At the time of signing agreement, eGames.com’s’ founder Aram Fuchs shared that nearly 30 years ago he has been introduced to Buzztime. Its projections made me excited as I was a hedge fund analyst and a gaming fan too. With engaging entertainment offering like sports, arcade, trivia and card games, Buzztime came building a stronger network of players loyal to the platform.
I am thrilled to be part of this team now and will work to put most of the talents eGames.com have. I intend to realize full potential of Buzztime by leveraging talents of independent game developers in the eGames.com network. With this transaction, we are expecting generating synergies to further physically expand Buzztime’s out-of-home advertising network and with the assets of eGames.com, Fuchs commented.
As part of the agreed terms, eGames.com will pay $2.0 million in cash to Buzztime at the closing of proposed transaction. eGames.com will also assume the certain other liabilities of Buzztime which would be necessary to continue business operations.
Buzztime has also received a loan amounting $1.0 million from an affiliate of eGames.com on the date of signing the purchase agreement. That amount will now be accounted towards the purchase price of the assets at closing of the deal.
Chief Executive Officer of Buzztime, Allen Wolff will be appointed as CEO of eGames.com after completion of the deal.