GameSquare Announces Acquisition of Leading Creator Technology Platform TubeBuddy

Rhea-AI Summary

GameSquare (NASDAQ: GAME) announced an asset purchase of creator technology platform TubeBuddy, issuing 5 million shares of newly designated Series A-2 preferred stock to BENlabs. GameSquare provided pro forma 2026 guidance of $85–$90 million revenue, 35–40% gross margin, and Adjusted EBITDA >$5 million.

The acquisition adds AI-enabled creator tools, first-party creator data, and recurring subscription revenue to GameSquare's media and performance-marketing platform.

Positive

• 2026 revenue guidance of $85–$90 million
• Adjusted EBITDA >$5M projected for 2026 (non-GAAP)
• TubeBuddy reaches 10 million creators, expanding creator relationships and recurring revenue

Negative

• Issuance of 5 million Series A-2 preferred shares to BENlabs may dilute existing equity
• Adjusted EBITDA guidance is non-GAAP and GameSquare did not reconcile to projected GAAP net income

Key Figures

2026 revenue guidance: $85–$90 million 2026 adjusted EBITDA: $5+ million 2026 gross margin: 35–40% +3 more

6 metrics

2026 revenue guidance $85–$90 million Pro forma fiscal year 2026 guidance including TubeBuddy plans

2026 adjusted EBITDA $5+ million Projected positive adjusted EBITDA for fiscal year 2026

2026 gross margin 35–40% Pro forma fiscal year 2026 gross margin guidance

Preferred shares issued 5 million shares Series A-2 Preferred Stock issued to BENlabs for TubeBuddy assets

Creators served 10 million+ creators Creators TubeBuddy has helped on YouTube

2026 guidance metrics Revenue, gross margin, adjusted EBITDA Company provides forward-looking non-GAAP guidance excluding GAAP reconciliation

Market Reality Check

Price: $0.2835 Vol: Volume 644,798 is below t...

low vol

$0.2835 Last Close

Volume Volume 644,798 is below the 20-day average of 1,020,371 (relative volume 0.63x). low

Technical Shares trade below the 200-day MA of 0.71 and are 90.12% under the 52-week high, hovering 3.62% above the 52-week low.

Peers on Argus

GAME showed a -4.16% move while peers were mixed: GDC +6.56%, SNAL +3.23%, SKLZ ...

GAME showed a -4.16% move while peers were mixed: GDC +6.56%, SNAL +3.23%, SKLZ -1.17%, MYPS -3.39%, GMGI -2.53%, indicating company-specific factors rather than a broad sector move.

Previous Acquisition Reports

3 past events · Latest: Sep 11 (Positive)

Same Type Pattern 3 events

Date	Event	Sentiment	Move	Catalyst
Sep 11	Click acquisition	Positive	-0.5%	Announced $8.5M Click Management acquisition with added revenue and EBITDA contribution.
Mar 08	FaZe acquisition close	Positive	+10.9%	Completion of FaZe Clan acquisition expanding esports and gaming media footprint.
Feb 27	FaZe merger approval	Neutral	-3.1%	Stockholder approval for merger with FaZe Holdings ahead of deal completion.

Pattern Detected

Past acquisition headlines produced mixed reactions: one strong positive move, one mild selloff, and one moderate decline around a merger approval.

Recent Company History

Recent GameSquare history shows a consistent acquisition and consolidation strategy. In February–March 2024, the FaZe merger and its completion drove moves of -3.13% and +10.9%. In September 2025, the $8.5M Click Management acquisition, adding projected revenue and EBITDA, saw a modest -0.46% reaction. Together, these events frame the TubeBuddy deal as another step in expanding creator, talent, and media capabilities.

Historical Comparison

+2.4% avg move · In the past, 3 acquisition-related headlines for GAME saw an average move of 2.44%, with reactions r...

acquisition

+2.4%

Average Historical Move acquisition

In the past, 3 acquisition-related headlines for GAME saw an average move of 2.44%, with reactions ranging from modest selloffs to a double-digit gain.

Acquisition history shows expansion from esports (FaZe) into talent management (Click) and broader creator/media capabilities, aligning with a platform-building strategy.

Market Pulse Summary

This announcement details GameSquare’s acquisition of TubeBuddy and introduces 2026 guidance calling...

Analysis

This announcement details GameSquare’s acquisition of TubeBuddy and introduces 2026 guidance calling for $85–$90M in revenue, 35–40% gross margin, and $5M+ in adjusted EBITDA. The transaction adds an AI-enabled creator technology layer and recurring software revenue to prior acquisitions like FaZe and Click Management. Investors may track integration progress, actual margin performance versus guidance, and the impact of issuing 5M Series A-2 preferred shares on the capital structure.

Key Terms

adjusted EBITDA, gross margin, proforma, Series A-2 Preferred Stock, +1 more

5 terms

adjusted EBITDA financial

"GameSquare Expects Revenue of $85-$90 Million, and Positive Adjusted EBITDA of $5+ Million in 2026"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

gross margin financial

"Revenue of $85 million to $90 millionGross margin of 35-40%Adjusted EBITDA of over $5 million"

Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.

proforma financial

"On a proforma basis, which takes into account the Company's plans with the TubeBuddy business"

Proforma describes financial numbers that have been adjusted to show how results would look under a specific scenario or after excluding certain items, like one-time costs or a recent acquisition. Investors use proforma figures as a “what-if” snapshot to compare performance on a more apples-to-apples basis, but they should note which adjustments were made because these tuned figures can make results look clearer than the unadjusted reality.

Series A-2 Preferred Stock financial

"GameSquare issued 5 million shares of its newly designated Series A-2 Preferred Stock to BENlabs"

Series A-2 preferred stock is a specific class of shares created during a funding round that gives its holders stronger financial protections and priority over common shareholders, such as getting paid first if the company is sold or winding down. Investors care because these shares behave like a hybrid between a loan and regular stock: they often offer fixed payouts or conversion rights and a better claim on assets, making them lower risk and shaping potential returns.

AI-enabled technical

"to acquire TubeBuddy, an AI-enabled software and workflow platform for creators and brands"

AI-enabled describes a product, service, or process that uses artificial intelligence—software that learns from data and makes decisions or predictions—as a core feature rather than a minor add-on. For investors it matters because AI-enabled offerings can boost productivity, lower costs or unlock new revenue streams; like adding a smart autopilot to a routine task, they can change a company's growth potential and competitive edge while also bringing higher upfront investment needs and distinct regulatory or ethical risks.

AI-generated analysis. Not financial advice.

Transaction Strengthens GameSquare's Position at the Center of Creator, Gaming, and Digital Media Ecosystems

GameSquare Expects Revenue of $85-$90 Million, and Positive Adjusted EBITDA of $5+ Million in 2026

FRISCO, Texas, Feb. 20, 2026 /PRNewswire/ -- GameSquare Holdings, Inc. ("GameSquare" or the "Company") (NASDAQ: GAME), a next-generation media, entertainment, technology and onchain treasury company, today announced that it has entered into an asset purchase agreement with BENlabs to acquire TubeBuddy, an AI-enabled software and workflow platform for creators and brands focused on optimizing YouTube channel performance and audience growth.

TubeBuddy provides powerful search engine optimization, workflow, analytics, and productivity tools powered by proprietary AI, which are used by creators and digital publishers to grow, manage, and monetize their content. The acquisition adds a scaled creator technology layer to GameSquare's technology platform which the Company believes will accelerate its strategy to build an integrated ecosystem spanning content, community, data, and performance marketing.

"Global consumer engagement and commerce are being reshaped in real time by creator platforms, performance data, and community-driven media," said Justin Kenna, CEO of GameSquare. "Our mission is to assemble a powerful combination of technology, media assets, and creator tools to power this next generation ecosystem. TubeBuddy represents exactly the type of innovative, high-utility technology resource that strengthens our platform and positions GameSquare to serve brands, creators, and audiences at scale."

Transaction Overview

Under the terms of the asset purchase agreement, GameSquare will acquire the assets of the TubeBuddy business. In exchange, GameSquare issued 5 million shares of its newly designated Series A-2 Preferred Stock to BENlabs as part of the transaction.

Strategic and Platform Benefits

The addition of TubeBuddy enhances GameSquare's technology stack, expands direct relationships with creators, and creates new opportunities for data-driven brand partnerships and monetization. With the addition of TubeBuddy, GameSquare's platform includes:

• An AI enabled software platform with proven tools embedded into creator workflows
• Anticipated increase to recurring software and subscription revenue
• First-party creator and channel data capabilities
• Powerful cross-platform brand and performance marketing solutions
• Creates new integration opportunities across GameSquare's media, esports, and creator network

TubeBuddy has helped more than 10 million creators on their YouTube journeys. Its technology is designed to help creators grow faster, with reported performance metrics including higher per-video views and stronger subscriber growth relative to competing solutions. TubeBuddy also serves major media companies, and global publishers.

2026 Guidance

On a proforma basis, which takes into account the Company's plans with the TubeBuddy business, the Company is introducing the following annual financial guidance for fiscal year 2026:

• Revenue of $85 million to $90 million
• Gross margin of 35-40%
• Adjusted EBITDA of over $5 million

Other than with respect to revenue and gross margin, GameSquare only provides guidance on a non-GAAP basis. GameSquare does not provide a reconciliation of forward-looking Adjusted EBITDA (non-GAAP) to GAAP net income (loss), due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation. Because other deductions used to calculate projected net income (loss) vary dramatically based on actual events, GameSquare is not able to forecast on a GAAP basis with reasonable certainty all deductions needed in order to provide a GAAP calculation of projected net income (loss) at this time. The amount of these deductions may be material and, therefore, could result in projected GAAP net income (loss) being materially less than projected Adjusted EBITDA (non-GAAP).

"The guidance for 2026 we are introducing today reflects the success of our multi-year strategy aimed at scaling our platform and driving sustainable operating profitability," Kenna added. "We are seeing the benefits of our operating initiatives in our revenue mix, margin profile, and Adjusted EBITDA trajectory. With the addition of TubeBuddy and continued operating discipline, we are entering 2026 with meaningful momentum and a strong financial foundation for continued growth and value creation."

About GameSquare Holdings, Inc.

GameSquare (NASDAQ: GAME) is a cutting-edge media, entertainment, and technology company transforming how brands and publishers connect with Gen Z, Gen Alpha, and Millennial audiences. With a platform that spans award-winning creative services, advanced analytics, and FaZe Clan Esports, one of the most iconic gaming organizations, we operate one of the largest gaming media networks in North America. As a digital-native business, GameSquare provides brands with unparalleled access to world-class creators and talent, delivering authentic connections across gaming, esports, and youth culture. Complementing our operating strategy, GameSquare has developed an innovative treasury management program designed to generate yield and enhance capital efficiency, reinforcing our commitment to building a dynamic, high-performing media company at the intersection of culture, technology, and next-generation financial innovation.

To learn more, visit www.gamesquare.com.

Forward-Looking Information

This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: the Company's future performance, the success of the acquisition, and integration, revenue, growth and profitability; and the Company's ability to execute on its current and future business plans. These forward-looking statements are provided only to provide information currently available to us and are not intended to serve as and must not be relied on by any investor as, a guarantee, assurance or definitive statement of fact or probability. Forward-looking statements are necessarily based upon a number of estimates and assumptions which include, but are not limited to: the Company's ability to grow its business and being able to execute on its business plans, the financial and business benefits of acquisitions, divestitures, and restructuring efforts, the success of Company's vendors and partners in their provision of services to the Company, the Company being able to recognize and capitalize on opportunities and the Company continuing to attract qualified personnel to supports its development requirements. These assumptions, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: the Company's ability to achieve its objectives, the Company successfully executing its growth strategy, the ability of the Company to obtain future financings or complete offerings on acceptable terms, failure to leverage the Company's portfolio across entertainment and media platforms, dependence on the Company's key personnel and general business, economic, competitive, political and social uncertainties. These risk factors are not intended to represent a complete list of the factors that could affect the Company which are discussed in the Company's most recent MD&A. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. GameSquare assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.

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SOURCE GameSquare

FAQ

What did GameSquare announce about acquiring TubeBuddy (GAME) on Feb 23, 2026?

GameSquare announced an asset purchase of TubeBuddy and issued 5 million Series A-2 preferred shares to BENlabs. According to the company, the deal adds AI creator tools, first-party creator data, and subscription revenue to its media and marketing platform.

What is GameSquare's 2026 revenue and EBITDA guidance after the TubeBuddy acquisition (GAME)?

GameSquare guided 2026 pro forma revenue of $85–$90 million and Adjusted EBITDA above $5 million. According to the company, gross margin is expected at 35–40%, with Adjusted EBITDA reported on a non-GAAP basis without GAAP reconciliation.

How does the TubeBuddy acquisition affect GameSquare's creator reach and products (GAME)?

The acquisition adds an AI-enabled platform used by over 10 million creators, enhancing creator workflows and analytics. According to the company, TubeBuddy brings SEO, workflow, and subscription tools that expand recurring revenue and creator-first data capabilities.

What shareholder impact should investors consider from GameSquare's TubeBuddy deal (GAME)?

Investors should note GameSquare issued 5 million Series A-2 preferred shares to BENlabs as consideration. According to the company, this capital-structure change could affect existing equity holders depending on preferred terms and future conversions.

Why did GameSquare report Adjusted EBITDA on a non-GAAP basis for 2026 (GAME)?

GameSquare provided Adjusted EBITDA guidance as non-GAAP because it cannot reasonably forecast specific deductions to reconcile to GAAP net income. According to the company, variable items prevent a reliable GAAP projection at this time.