Benzinga | Sep 14, 2020 09:04AM EDT

Allied Esports Entertainment Issues 4 Clarifications Related To Commentary Given By Co. CEO, Frank Ng, During Sept. 11 Interview

* As has previously been disclosed publicly, the Company is in partnership with Simon Equity Development, LLC and its affiliates ("Simon") to develop esports venues in Simon-owned and operated malls around the U.S. The Company continues to have regular dialogue with Simon regarding the impact of the COVID-19 crisis and the subsequent rollout of planned retail locations.

* Although the Company's World Poker Tour ("WPT") business has partnered with DraftKings Inc. ("DraftKings") in the past for sponsorship opportunities, and the Company and DraftKings have discussed potential business opportunities from time to time as the Company does with many similarly situated potential business partners, there is no current agreement in place between the Company and DraftKings for future poker or esports partnerships.

* The Company continues to assess potential financing transactions with third parties, whether dilutive or not, to ensure the Company has sufficient capital to operate its business and increase shareholder value.

* The Company cannot speculate about why shareholders elect to sell shares of the Company; however significant recent insider sales, but not all sales, were "sell to cover" transactions to satisfy the withholding taxes assessed against our insiders as a result of the issuance of shares as bonuses in lieu of cash, and the lapse of restrictions on their shares previously issued. All of these share issuances have been previously disclosed to the public, and the Company believes that all sales have been properly reported by its insiders.