September 18, 2020

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Simplicity Esports sets sights on NYSE American public offering

Simplicity Esports and Gaming Company has filed for a proposed public offering of its shares and...

Simplicity Esports and Gaming Company has filed for a proposed public offering of its shares and warrants on the NYSE American.

Simplicity Esports will also apply to uplist from the OTCQB tier of the OTC Market Group, Inc. to the NYSE American, with a proposed firmly underwritten public offering by ThinkEquity.

Image credit: Simplicity Esports and Gaming Company

RELATED: Simplicity Esports receives $500,000 investment from Triton Funds

Simplicity Esports is a North American organisation which owns and manages several esports teams, most notably Flamengo Esports, which competes in Brazil’s premier League of Legends competition CBLoL. Last month, the company—which also acts as a franchiser of esports gaming centres—secured a $500,000 (£425,000) investment from Triton Funds, a student-run fund manager in the USA.

Now, Simplicity Esports has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission (SEC) to propose a public offering of its shares and warrants. The company will also apply to uplist to the NYSE American, a stock exchange situated in New York City. The organisation has confirmed that the closing of the proposed public offering is dependant on its NYSE American listing being approved, though the price and number of shares for the proposed offering “have not yet been determined.”

RELATED: Simplicity Esports secures new franchise territories

In charge of the proposal is ThinkEquity, a division of Fordham Financial Management, Inc., which will be acting as lead manager. ThinkEquity will also be responsible for distributing copies of the prospectus relating to the offering, which is the only means by which the offering will be made. Electronic copies of the final prospectus will also be available on the SEC’s website.

In February, Simplicity Esports secured the sale of new franchise territories that cover Oxford, Corpus Christi, and McAllen, as part of its goal of bringing esports and gaming to the masses. In that release, CEO Jed Kaplan stated that the company aimed “to sell 20 new franchise territories by the end of 2020.”

Esports Insider says: Simplicity Esports’ aggressive expansions, both throughout the United States and abroad, have positioned the company as an industry leader in some people’s eyes, but those moves don’t come cheap. Raising the significant amount of investment capital that a public offering could bring might well ensure Simplicity’s growth for years to come.

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