Calgary, AB - TheNewswire - April 5, 2023 - VIP Entertainment Technologies Inc. (TSXV:VIP) (“VIP” or the “Company”) is very pleased to announce that it has signed an arm’s length binding letter of intent dated April 4, 2023, to acquire Contagious Sports (“Contagious”) and its United Kingdom Gaming License (“UKGL”).

Under the terms of the agreement VIP will acquire all issued and outstanding shares of Contagious whose main asset is an active United Kingdom Gaming License. VIP is enthusiastic about the prospect of continuing its growth through the acquisition of UKGL. This transaction enables the company to have immediate access to new and existing users covered under this highly prestigious license. This license encompasses a territory consisting of one of the largest gaming and sports betting markets per capita globally.  

VIP expects to complete a definitive agreement within the next few days outlining the terms in the binding letter of intent. Full payment for the acquisition is payable in the form of a net gaming revenue sharing arrangement. VIP will pay up to $1,000,000 CDN solely from 10% of the net revenue after expenses derived from the territories covered under the acquisition licence. Completion of the acquisition of Contagious is subject to a number of conditions, including, but not limited to, negotiation of definitive documentation and the receipt of any required regulatory approvals.

VIP also highly anticipates the granting of the Kahnawake gaming licence, which it has applied for, in the very near future which will give the company the ability to market its gaming and sports book platforms throughout Canada with the exception of Ontario. The company enjoyed a high degree of success in Canada prior to listing on the TSX.V and looks forward to re-engaging with its past players while developing a comprehensive marketing strategy for new player acquisition within the Canadian territories.

VIP is focused on increasing its core business in the iGaming industry​ through strategic acquisitions such as ​Contagious Sports as it transforms itself into a premier entertainment gaming company in a rapidly evolving and growing industry. The acquisition of​ ​Contagious and its UKGL is a huge step forward for VIP to expand its ​presence​ in the gaming industry. The goal of VIP is to grow into a more diversified entity, and th​is​ acquisition allows VIP to immediately increase its exposure​ globally.​

VIP continues to work towards closing of the offering previously announced on March 6, 2023 (“Offering”). In light of this new acquisition ​VIP ​has increased the size of its Private Placement​ offering​ from 2.5 million Units to 3 million Units at $0.25 per Unit, comprised of one common share of the Company (each a " Common Share ") and one-‎half of one common share purchase warrant (each full warrant, a " Warrant "). Each Warrant entitles ‎the holder to acquire one Common Share from the Company at a price of $0.50 per Common Share ‎expiring 24 months from the date of issuance. Proceeds are for working capital and marketing purposes.​

All securities issued pursuant to the Offering will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation. The closing of the Offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the TSX Venture Exchange.

The Company ​also​ announce​s that it will not be proceeding with the​ ​Outside The Box Capital Investor Relations agreement as ​previously ​​announced​.

About VIP Entertainment Technologies Inc.

VIP delivers sports betting, casino games and poker through its VIP Bets platform. In addition, it has recently launched its Free to Play platform, VIPFree2Play, and its Daily Fantasy Sports platform including a Apple App Store version as well as mobile and desktop compatible site. The Company has plans to continue to expand its offering to the gaming industry. Since 2016, VIP has handled approximately $150,000,000 in wagers through its licensed online gaming services.

For further information please visit www.vipentertainmentgroup.ca or contact:

Joel Donais - Chief Executive Officer

+1-587-436-5635

joel@vipentertaingroup.com

 

Neither the TSXV 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.

This news release contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that VIP anticipates or expects may or will occur in the future (in whole or in part) should be considered forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or statements formed in the future tense or indicating that certain actions, events or results “may”, “could”, “would”, “might” or “will” (or other variations of the forgoing) be taken, occur, be achieved, or come to pass.

Forward-looking statements are based on assumptions, including expectations and assumptions concerning the Company’s growth plan and the benefits of the acquisition and the completion of the Offering. While VIP considers these assumptions to be reasonable, based on information currently available, they may prove to be incorrect. Readers are cautioned not to place undue reliance on forward-looking statements. In addition, forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; future legislative, tax and regulatory developments. Readers are cautioned that the foregoing list is not exhaustive and other risks set out in public disclosure recorded and filed under the Company’s profile on www.sedar.com. Readers are further cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions, or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. For more information on the risk, uncertainties and assumptions that could cause anticipated opportunities and actual results to differ materially, please refer to the public filings of VIP Entertainment Technologies Inc. which are available on SEDAR at www.sedar.com. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement and reflect our expectations as of the date hereof, and thus are subject to change thereafter. VIP Entertainment Technologies Inc disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

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