Golden Matrix Group Enters into Equity Distribution Agreement with Craig-Hallum Capital Group LLC

On November 22, 2024, Golden Matrix Group, Inc. (NASDAQ: GMGI) announced the signing of an Equity Distribution Agreement with Craig-Hallum Capital Group LLC. Under this agreement, the Company has the option to sell up to $20 million worth of its common stock through Craig-Hallum as the sales agent.

The sales of the common stock will be conducted in accordance with the Company’s effective Registration Statement on Form S-3 (File No. 333-264446) filed on April 22, 2022. A prospectus supplement dated November 22, 2024, was filed with the Securities and Exchange Commission to facilitate the offer and sale of the shares of common stock as per the Distribution Agreement.

Before any sales take place, the Company will provide Craig-Hallum with a placement notice outlining parameters such as the number of shares, the timeframe for sales, any daily limitations, and minimum pricing. Craig-Hallum will be responsible for the sale under methods like ‘at the market’ offerings as defined in Rule 415 under the Securities Act of 1933. The Company is not obligated to sell, and Craig-Hallum is not obligated to buy or sell, any shares under this agreement.

As part of the Distribution Agreement, Craig-Hallum will earn a commission of 3.00% on gross proceeds from the sale of the Company’s common stock. Additionally, the Company will reimburse Craig-Hallum for certain expenses up to $50,000, with further reimbursement of up to $5,000 per remaining quarterly period the agreement is in effect.

The Company intends to utilize the net proceeds from the stock sales for general corporate purposes, including working capital and capital expenditures. The Distribution Agreement will cease either upon the sale of all designated common stock or by mutual agreement between the Company and Craig-Hallum.

A detailed copy of the Distribution Agreement has been attached as Exhibit 1.1, while an opinion from The Loev Law Firm, PC regarding the validity of the shares to be sold is filed as Exhibit 5.1.

This report emphasizes that the filing should not be interpreted as an offer to sell or a solicitation to buy any securities. It underlines the vital role of the Distribution Agreement between Golden Matrix Group and Craig-Hallum Capital Group LLC for potential share sales.

For a more comprehensive analysis of the financial standings and subsequent decisions of Golden Matrix Group, investors are encouraged to refer to the full text of the 8-K filing available on the SEC’s website.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Golden Matrix Group’s 8K filing here.

About Golden Matrix Group

Golden Matrix Group, Inc provides enterprise software-as-a-service solutions for online casino and sports betting operators. The company develops and owns online gaming intellectual property; and builds gaming platforms for customers located primarily in the Asia Pacific region. Its platform facilitates gaming customers in operating online casinos, sportsbooks, lottery, and live games; and provides customers with access to a portfolio of licensed gaming content, which are provided by gaming content providers.