Tapinator, Inc. (OTCMKTS:TAPM) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01 Entry into a Material Definitive Agreement.
On December 28, 2018, Tapinator, Inc., a Delaware corporation (the “Company”), entered into a Games Revenue Share and Stock Repurchase Agreement (the “Agreement”) with TapGames, a Pakistani registered firm (“TapGames”), Khurram Samad (the “Stockholder”), Rizwan Yousuf and Tap2Play, LLC, a Colorado limited liability company, whereby the Company repurchased 7,646,446 shares (the “Repurchased Shares”) of the Company’s common stock, par value $0.001, from the Stockholder.
In consideration for the Repurchased Shares, the Company agreed to share all revenue net of any and all third-party platform fees generated from the Company’s Rapid Launch Games identified in the Agreement (the “Subject Games”) with TapGames, an entity in which the Stockholder has an equity interest. to the terms of the Agreement and effective as of January 1, 2019, 60% of all such revenue will be paid to TapGames with the Company retaining the remaining 40%.
The Company and Tap2Play, a wholly-owned subsidiary of the Company, will retain all intellectual property rights and title to the Subject Games but will not be responsible for any updates or maintenance with respect to the Subject Games, including any advertising or marketing expenses. As the Company has previously publicly disclosed, the Company does not intend to invest significant additional funds in its Rapid Launch Games’ business, including the Subject Games, and will instead continue to focus on its Full-Featured Mobile Games and Applications business.
Subsequent to giving effect to the repurchase described above, the Company will have 87,979,526 common shares outstanding and the Stockholder will continue hold 7,646,445 shares of the Company’s common stock, which represents approximately 8.7% of the Company currently outstanding common stock. The Stockholder provided the Company certain customary representations and warranties with respect to the repurchase of the Repurchased Shares as part of the Agreement.
The foregoing description of the Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Agreement which is attached as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference.
Item 9.01.Financial Statements and Exhibits.
Tapinator, Inc. Exhibit
EX-10.1 2 ex_132215.htm EXHIBIT 10.1 ex_132215.htm Exhibit 10.1 GAMES REVENUE SHARE AND STOCK REPURCHASE AGREEMENT This Games Revenue Share and Stock Repurchase Agreement (this “Agreement”) is made as of December 28,…
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About Tapinator, Inc. (OTCMKTS:TAPM)
Tapinator, Inc. (Tapinator) designs, develops, and publishes mobile games on the iPhone operating system (iOS), Google Play, and Amazon platforms. Tapinator’s owned and operated portfolio includes over 250 mobile gaming titles that have achieved over 300 million cumulative downloads, primarily within the Simulation, Arcade, Role Playing, Casino and Sports genres. Tapinator generates revenues through the sale of advertisements, the sale of paid downloadable games, and the sale of additional in-game content. Founded in 2013, Tapinator has product development teams located in Germany, Pakistan, Indonesia, Canada, and the United States.