DAILY NEWS Apr 15, 2014 7:12 AM - 0 comments

theScore, Inc. Announces $15 Million Financing

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2014-04-15

 theScore, Inc.  is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Beacon Securities Limited, and including Canaccord Genuity Corp. (the "Underwriters"), to purchase on a bought deal basis, 26,400,000 Class A Subordinated Voting Shares of theScore at a price of $0.30 per Class A Share, by way of short form prospectus to be filed in each of the Provinces of Canada, except Québec, for gross proceeds of $7,920,000. Concurrent with the Bought Deal Offering, the Company intends to complete a private placement of 23,600,000 Class A Shares at a price of $0.30 per Class A Share, for gross proceeds of $7,080,000 (the "Private Placement", and collectively with the Bought Deal Offering, the "Offering"). The aggregate gross proceeds from the Offering will be $15 million. In addition, theScore has granted to the Underwriters an over-allotment option, exercisable in whole or in part up to 30 days following the closing of the Bought Deal Offering, to purchase up to an additional 15% of Class A Shares. In the event the over-allotment option is exercised in full and certain insiders of the Company elect to exercise their pre-emptive rights, the aggregate gross proceeds of the Offering will be approximately $17.25 million.

The net proceeds from the Offering will be used to support the ongoing development of the Company's flagship mobile sports app "theScore" and the expansion of sales and marketing efforts and for general corporate and working capital purposes.

"This financing provides theScore with additional resources to continue building a premiere mobile-first sports experience that's already achieved significant levels of user engagement throughout North America," said John Levy, Chairman and CEO of theScore. "This will support the amazing work of our talented in-house development team while allowing us to step-up our marketing efforts to introduce even more sports fans to theScore."

Levfam Holdings Ltd., Relay Ventures Fund II L.P. and Relay Ventures Parallel Fund II L.P. have each indicated their intention to participate in the Private Placement.

Closing of the Offering is scheduled on or about May 7, 2014, and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities, and the satisfaction of other customary closing conditions.


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