Vertiqal Studios Announces Sale of Luminosity Gaming

Executive Summary

• Vertiqal Studios Corp. completed the sale of its Luminosity asset for a cash consideration of C$300,000 plus a contingent payment of C$125,000 tied to future revenue under a sales agency agreement.
• The divestiture aligns with Vertiqal’s strategic focus on core digital‑channel and video‑production businesses, reallocating resources toward higher‑growth opportunities.
• Vertiqal will retain historic debts and creator obligations related to Luminosity, while the buyer assumes no prior liabilities; a non‑exclusive commercial partnership will continue under a sales agency agreement.

Key Details

• Purchase Price: C$300,000 cash paid at closing.
• Contingent Payment: Additional C$125,000 payable to Vertiqal once revenue of $125,000 is collected pursuant to the Sales Agency Agreement.
• Liabilities Retained: Vertiqal retains all historical debts, liabilities, and unpaid creator obligations incurred before the transaction; these were not assumed by the buyer.
• Strategic Rationale: Sale supports Vertiqal’s focus on its core portfolio of social video channels, proprietary monetization infrastructure, and operational engine, aiming to enhance scalability and resilience.
• Post‑Sale Relationship: Vertiqal will remain engaged with Luminosity as a non‑exclusive commercial partner for select sales efforts under the executed Sales Agency Agreement.
• Management Comment: Max Desmarais, President of Vertiqal Studios, stated that the transaction enables Vertiqal to concentrate on its core growth engines while maintaining a partnership with Luminosity.

Notable Quotes

“Luminosity is a powerful legacy brand and has a passionate community behind it… This transition enables Vertiqal to concentrate even further on our core growth engines…” – Max Desmarais, President, Vertiqal Studios Corp.