GameSquare Completes $5 Million Ethereum Purchase as Part of $100 Million Treasury Strategy
Rhea-AI Summary
GameSquare (NASDAQ:GAME) has executed a significant crypto strategy by purchasing 1,818.84 Ethereum (ETH) at an average price of $2,749 per ETH, totaling $5 million. This marks the first step in the company's $100 million Ethereum treasury authorization plan.
The company is partnering with Dialectic to utilize their Medici platform, targeting 8-14% risk-adjusted yields compared to standard staking yields of 3-4%. Additionally, Lucid Capital Markets exercised its full over-allotment option, purchasing 1.26 million additional shares, bringing the total offering proceeds to $9.2 million.
Positive
- None.
Negative
- Significant exposure to volatile cryptocurrency markets
- Additional share issuance causing dilution through the over-allotment exercise
News Market Reaction – GAME
On the day this news was published, GAME declined 13.89%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
1,818.84 Ethereum Acquired at a Weighted Average Price of
Over-Allotment Option Exercised, Bringing Total Gross Proceeds to
FRISCO, TX / ACCESS Newswire / July 10, 2025 / GameSquare Holdings, Inc. (Nasdaq:GAME) (the "Company" or "GameSquare") a next-generation media, entertainment, and technology company, today announced it has completed a
"This marks an inflection point in GameSquare's strategic evolution as we activate our Ethereum-native treasury strategy," said Justin Kenna, CEO of GameSquare. "In partnership with Dialectic and Ryan Zurrer, we are leveraging Medici, Dialectic's proprietary platform that combines machine learning, automated optimization, and multi-layered risk controls, to target best-in-class risk-adjusted yields of 8
The Company's ETH-focused treasury program is designed to generate sustainable, risk-adjusted yield through decentralized finance protocols and Ethereum ecosystem assets. Medici's platform is known for its advanced risk management and performance monitoring, making it a strong foundation for scalable treasury deployment.
In addition, GameSquare announced that Lucid Capital Markets, sole book-running manager for the Company's previously announced underwritten public offering, has exercised its full over-allotment option. Lucid purchased an additional 1,263,157 shares (or common stock equivalents) at the public offering price, less underwriting discounts and commissions. This brings total gross proceeds from the offering to approximately
"We're encouraged by the support from a high-caliber group of investors and decentralized finance leaders who share our long-term vision. With a
Once fully implemented, GameSquare expects to allocate capital generated from this strategy to support additional ETH asset purchases, fund a potential share repurchase program or reinvest in the Company's growth initiatives.
About GameSquare Holdings, Inc.
GameSquare's (NASDAQ:GAME) mission is to revolutionize the way brands and game publishers connect with hard-to-reach Gen Z, Gen Alpha, and Millennial audiences. Our next generation media, entertainment, and technology capabilities drive compelling outcomes for creators and maximize our brand partners' return on investment. Through our purpose-built platform, we provide award winning marketing and creative services, offer leading data and analytics solutions, and amplify awareness through FaZe Clan Esports, one of the most prominent and influential gaming organizations in the world. With one of the largest gaming media networks in North America, as verified by Comscore, we are reshaping the landscape of digital media and immersive entertainment.
To learn more, visit www.gamesquare.com.
Forward-Looking Statements:
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, 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 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.
GameSquare Corporate Contact
Lou Schwartz, President
Phone: (216) 464-6400
Email: ir@gamesquare.com
GameSquare Investor Relations
Andrew Berger
Phone: (216) 464-6400
Email: ir@gamesquare.com
GameSquare Media Relations
Chelsey Northern / The Untold
Phone: (254) 855-4028
Email: pr@gamesquare.com
SOURCE: GameSquare Holdings, Inc.
View the original press release on ACCESS Newswire
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