After having gone through a major selloff and declining considerably on Tuesday, the eSports stock GGTOOR Inc (OTCMKTS:GTOR) made a comeback on Wednesday and ended up with gains of as much as 9% for the day. The recovery in the stock came about after the company had made an announcement yesterday with regards to a development on October 18, 2022.
Trading Data
On Wednesday, GTOR stock gained 8.99% to $0.0097 with more than 6.94 million shares, compared to its average volume of 1.60 million shares. The stock moved within a range of $0.0092 – 0.0115 after opening trade at $0.0092.
GGTOOR, Inc., (OTCMKTS:GTOR) Announces Revised Nerdland Commitment to Purchase Agreement has Been Executed
The company announced yesterday that it had decided to revise the Nerdland Commitment with regards to the purchase for the purpose of accommodating lender requirements. The possibility of a revision to the agreement had been suggested by the lenders agents Nerdland and the agreement was completed after discussions between all parties.
In this regard, it should be noted that the full purchase price of the commitment stays at $7.2 million even after the revision. GGTOOR announced yesterday that it had reached an agreement to accept $2.4 million at the time of closing of the agreement. The rest of the $4.8 million could be paid in three separate and equal installments over the course of as many as three years. In other words, Nerdland would need to make three payments worth $1.6 million on the anniversary date of the closing of the agreement over a period of three years.
Key Quote
John V Whitman Jr. had this to say concerning the Nerdland deal, “When I realized the Company needed to agree to payments in order to advance Nerdland’s funding prospects, my only option was to let the original agreement expire so I would have the leverage necessary for GGToor to emerge victorious regardless of Nerdland’s ability to find financing. Simply amending an existing contract would not have provided GGToor with the leverage it needed to put safeguards in place.”
Technical Data
GTOR stock is trading below the 20-Day and 50-Day Moving averages of $0.0148 and $0.0185 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.0240.
