Publicly traded esports and gaming company GameSquare Holdings (NASDAQ: GAME) announced Thursday that it has acquired Click Management for approximately $8.5 million USD, plus contingent earnouts.
Under the terms of the purchase agreement, GameSquare would acquire “all outstanding shares of Click for an initial cash payment of $4.5 million at close and $4.0 million within 60 days of Dec. 31.” As part of this deal, “Click will be eligible to receive up to an additional $3.0 million in additional consideration (an “earn-out”) over the next two calendar years upon the achievement of financial performance targets.”
According to the announcement, Click closed more than 545 commercial deals globally in 2024, and recorded an annual revenue of $12.4 million. In addition it has more than 75 English speaking, game-related creators on its roster of talent. GameSquare said in its release that it expects the new acquisition to generate “$14.5 million of annualized pro-forma revenue and approximately $1.2 million of annualized pro-forma EBITDA,” and that the company expects “revenue and cost synergies to materially increase Click’s EBITDA contribution for the remainder of 2025 and into 2026.”
Grace Watkins, Co-CEO of Click, said: “Since we founded Click, our mission has always been to be the growth engine for creators. This partnership with GameSquare, whose vision aligns so closely with ours, gives us the ability to accelerate that mission and cement Click’s role as a global leader in the creator economy.”
Emma Barnes, Co-CEO of Click, added: “This is such an exciting milestone for Click and our creators. In partnership with GameSquare, we can provide more resources, more reach, and more opportunities for our creators to succeed on a global scale.”
With this acquisition, GameSquare announced that it will discontinue the operations of its programmatic advertising solutions provider division, Frankly Media. GameSquare said in its announcement that Frankly contributed approximately $46.9 million in sales, had a gross margin of $2.2 million, and recorded an EBITDA loss of $1.1 million. The shutdown of Frankly operations is expected to be completed on or around Sept. 15.
Click will be integrated into its agency business, which already includes Zoned Gaming and GameSquare Experiences. Sideqik, the company’s technology-enabled CRM solutions provider aimed at brands and marketers, will be integrated and consolidated into Stream Hatchet. These consolidation efforts are “expected to reduce annual operating expenses by $1.25 million,” GameSquare noted in its announcement.
GameSquare also owns FaZe Clan Esports, or FaZe Esports, which includes the Call of Duty League franchise, Atlanta FaZe.