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Florida-based, NASDAQ-listed entertainment provider enters into Letter of Intent to acquire Arctic7 to broaden its portfolio of offerings Arctic7 bolsters strategy to become a leader in the intersection of game development, co-development, virtual production, transmedia IP extension AUSTIN, Texas, March 14, 2024 (GLOBE NEWSWIRE) -- Arctic7, which provides a robust suite of full game and co-development services together with own intellectual property development within gaming, and virtual production services for the movie and TV industry, has today announced it has agreed to be acquired by Grom Social Enterprises, Inc (NASDAQ: GROM). Grom – a media, technology, and entertainment company focused on family-friendly programming, web filtering technology and safe social media for kids – has entered into a non-binding letter of intent to acquire Arctic7. Grom aims to complement its existing entertainment offerings of safe, social media for kids and its growing catalog of original intellectual property with a move into gaming. Arctic7 CEO Igor Efremov said: "Our vision for Arctic7 is to become a leader in the gaming and film & TV space, offering full game development, co-development, transmedia and virtual production capabilities and ensuring we continue to develop a world class team together with strong relationships across the industry. Teaming up with Grom allows us to more vigorously pursue a roll up strategy approach to potentially expand our business even further. Next week, we'll be at GDC 2024, which is the perfect venue to identify opportunities for growth." "We continue to successfully execute against this vision and are excited that this has been recognized by Grom Social Enterprises while also being enthused at how the partnership can further fuel our growth as we continue to develop engaging content, grow our amazing team, and accelerate our M&A efforts working with Grom on their journey to become a leading entertainment company." Grom CEO Darren Marks said: "Grom welcomes the opportunity to bring Arctic7 into the Grom portfolio to further fuel Arctic7's vision of offering both gaming and virtual production capabilities, while together, we explore integrating Arctic7's expertise into our expanding entertainment ecosystem. Content collaboration, cross-promotional opportunities, product licensing, brand partnerships, merchandising, interactive experiences, educational gaming initiatives, and much more are at the heart of this partnership." Upon completion of the acquisition, Arctic7 will operate as a division within Grom and will continue to execute against its current strategy of delivering exciting and engaging experiences for players and partners. In the coming weeks and months, Grom and Arctic7 intend to explore partnership opportunities and titles presented by the Grom acquisition. Arctic7 executives will be attending GDC 2024 in San Francisco and available to meet with press and client partners and prospects to explore both business development and acquisition opportunities that complement and expand current Arctic7 offerings. Press contact: Jon Goddard (jon.goddard@arctic7.com) / Paul Ward (paul@gromsocial.com) Partnerships contact: Bill Anker (bill.anker@arctic7.com) About Arctic7 About Grom Social Enterprises, Inc. 
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