Company Set for New Chapter with Strengthened Financial Position and Continued Commitment to Esports

TORONTO, Nov. 8, 2023 /CNW/ - OverActive Media (TSXV:OAM) (OTCQB:OAMCF) ("OverActive" or the "Company"), a leading sports, media, and entertainment company for today's generation of fans, today announced that it has entered into a final agreement with Activision Blizzard regarding the previously announced termination of its Team Participation Agreement in the Overwatch League. The agreement allows OverActive to exit its commitments in the Overwatch League and provides it with strengthened financial stability. Unless otherwise specified, all amounts are in Canadian dollars ($).

Under the terms of the agreement, OverActive will receive a termination payment of $8.26 million (USD 6 million) from Activision Blizzard. This payment will be net of approximately $916,000 (USD 666,000) for payments paid in advance by the League to Toronto Defiant (for a total payment of $7.10 million (USD 5.34M)) and will bolster OverActive's cash position to over $15 million. This development comes as OverActive continues to realign its strategic focus and prepare for the new era of Overwatch esports in 2024 and beyond.

"This strategic restructuring of our league assets marks a new chapter for OverActive," said Adam Adamou, Co-Founder and Interim CEO, OverActive Media. "We extend our deepest thanks to the Overwatch League, its fans, and the community for their unwavering support. Toronto Defiant has proudly competed under the League's banner, and we've built incredible memories together. As we transition into the next phase of Overwatch esports, we look forward to the opportunities that lie ahead."

Continued Mr. Adamou, "Our commitment to our teams and esports is stronger than ever, and we believe this move is a crucial step to ensuring their continued success. We are eager to share more about our vision for Toronto Defiant and our plans to return to Overwatch esports. We expect more information to come on this front soon."

The agreement with Activision Blizzard signifies an important strategic realignment for OverActive, allowing the company to reinvest in its core business and recommit to its primary mission. The financial implications of the agreement, including the termination payment, will be reflected in OverActive's fourth-quarter results.

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