TGS Esports, a Canadian esports company with interests in esports gaming centers and tournament management, has signed a non-binding letter of intent with subsidiaries of an arm’s length entertainment, travel, and media company, which would result in a reverse takeover of TGS. 

The combined entity will have diversified operations across media, esports, and gaming. The subsidiaries of the undisclosed media company operate a digital business ecosystem and specialize in in-game advertising and monetization.  Moreover, TGS revealed plans to raise USD 3 million via a private placement to fund the working capital requirements of the combined entity. 

TGS also announced that an unsecured loan worth USD 1 million from two arm’s length lenders was being finalized.