Simplicity Esports and Gaming Company, announced that it has acquired three additional franchisee owned esports gaming centers, two of which are in Texas, and one in Montana. These gaming centers, combined with other acquisition targets previously announced, generated over $2,700,000 in combined revenues in 2019. These acquisitions give Simplicity a total of 12 corporate owned gaming centers, in addition to numerous other franchisee owned gaming centers.
Roman Franklin, President of Simplicity Esports, stated, “I am thrilled to announce three more gaming center acquisitions. These acquisitions, along with existing corporate owned gaming centers, gives us ownership of 12 of the top 25 revenue producing gaming centers across our nationwide footprint during the month of February 2020. The percentage rent leases significantly reduce fixed operating costs for each gaming center, and we expect the gaming centers to be cash flow positive within 30 days of acquisition.”
These acquisitions allow Simplicity Esports to report the full revenues generated by these gaming centers on a consolidated basis.
In addition to these acquisitions, Simplicity Esports has executed non-binding letters of intent for the acquisition of four additional esports gaming centers with new percentage rent leases from landlords. The four additional acquisitions are expected to close by December 15, 2020.