Danish esports organization Astralis will hold an “Extraordinary General Meeting” on Aug. 8, to decide if shareholders want to delist Astralis A/S from Nasdaq First North Growth Market Denmark. The meeting will be held on Aug. 8, at 9:30 am CEST (doors will open at 9:00 am CEST), where shareholders will also elect a chairman.
This story was first reported by esports journalist Richard Lewis.
The vote on delisting is not surprising, given that the company announced in March that the board of directors would undergo a strategic review of the business and consider serious changes to its operations, including delisting the company’s shares (going private), issuing new shares, or a sale of the company’s shares and assets.
“Combinations of all or some of the four possible transactions may also be the outcome of the strategic review,” the company said in its March 30 announcement.
The proposed delisting will be considered as the only item on the agenda and would require a “two-thirds (2/3) of the votes and capital present at the General Meeting vote in favor of the Proposal,” according to the announcement. The Astralis executive management team, its board of directors and major shareholder Jakob Lund Kristensen will vote in favor of the proposal.
What will happen to the company if the proposal is approved—from the announcement:
“If the request is approved, the Company’s share will continue to be tradable for a period of 10 weeks from the date of approval before the Company’s share is deleted from trading on Nasdaq First North Growth Market Denmark (the ‘Continued Trading Period’). The Company will publish a company announcement in connection with the submission of and response to this request. During the Continued Trading Period, the Company’s shareholders are not obliged to sell their shares.”
This news follows reporting (TEA could not independently verify this) that Astralis was interested in unloading its League of Legends EMEA Championship (LEC) franchise slot. In theory Astralis could unload this slot for around $20M+ USD if it could find an interested buyer and if an LEC slot is worth as much as an LCS slot (according to reporting in May, TSM wants to unload its LCS slot for around that amount and move to another region).
In addition to this news, ESL Pro League announced last week that it had fined Astralis $100K USD for not disclosing a conflict of interest related to its dealings with former Heroic Head Coach and former Astralis Head Analyst Nicolai ‘HUNDEN’ Petersen.
