Toronto-based theScore has confirmed the closure of its previously announced private placement of 22,222,223 Class A Shares at a price of US$0.45 (C$0.59) per Class A Share for proceeds of US$10m. Participants in the private placement include Penn National Gaming alongside other investors including John Levy Family Holdings Ltd.

Penn National, North America’s largest regional gaming operator, has subscribed for US$7.5m of the Class A Shares. The move follows its multi-state market access framework agreement with theScore which was announced last week. John Levy Family Holdings Ltd, an entity controlled by John Levy, the company’s Founder and CEO, has subscribed for an aggregate of 2,222,222 Class A Shares in the private placement.

Proceeds from the offering will be used to facilitate the expansion of the company’s sports betting platform in the United States. US$7.5m of the proceeds were paid to Penn National in respect of the upfront market access fee under the framework agreement.

The offering remains subject to the final acceptance of the TSX Venture Exchange. Furthermore, the Class A Shares to be issued under the private placement to Canadian purchasers will be subject to a statutory hold period expiring December 10, 2019. Additional resale restrictions and legends may apply in the United States and other jurisdictions.