LONDON, UK: Bidstack Group Plc, the in-game brand activation platform, has announced that it has agreed to a non-binding heads of terms with Virtual Sport Technology Limited (VST), a sports marketing agency, for a multi-year licensing agreement.
The agreement, subject to contract, would allow VST to use Bidstack’s technology to enable sports leagues and teams to sell advertising space within their virtual stadiums or tracks in video games. Bidstack would receive a licence fee of £1.5m and a 70 per cent revenue share from VST, as well as transferring some of its employees to VST.
The agreement is a related party transaction as some of Bidstack’s directors are also involved in VST. The independent directors of Bidstack will review and approve the agreement after consulting with the company’s nominated adviser.
Dr. David Reeves, Chairman of Bidstack, said that the agreement would address the company’s funding requirements and build on its strengths as a technology provider.
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