Escape Hunt plc (AIM:ESC) agreed to acquire BGP Escape for €0.53 million on January 22, 2021. Escape Hunt plc will pay €0.33 million in cash and BGP Escape will issue a vendor loan note of €0.1 million. Escape Hunt plc will make earnout payment over three years from completion, comprising a 5 percent revenue share from each of the sites in Paris and Brussels, and a payment from the existing sub-franchisee network equivalent to the lower of 2.5 percent of the revenue generated by each sub-franchisee or 27.5 percent of the revenue share paid by each sub-franchisee to BGP Escape. BGP Escape is expected to be acquired with approximately €0.1 million of net cash. As of February 26, 2021, the company has exchanged contracts to acquire BGP Escape. In a related transaction, Escape Hunt plc will undertake a private placement of approximately £1.4 million (€1.6 million) and £0.33 million (€0.37 million) shall be used for the acquisition. The current owners of BGP Escape will no longer be involved in its operation following completion of the acquisition, the existing management team will remain in place and will become part of the Escape Hunt team. The transaction is subject to completion of due diligence, finalization of contracts and compliance with local law requirements. The acquisition is also conditional on securing an extension to the majority of sub-franchisee agreements for a further six years on renewed terms which will allow Escape Hunt to offer games from a catalogue rather than providing bespoke games to each sub-franchisee. The transaction is expected to close within the coming weeks and is expected to be accretive to Escape Hunt plc once sites are able to re-open and sales levels return towards historic 2019 levels. The acquisition is expected to complete on or before March 15, 2021. Tom Griffiths, David Coaten and Fiona Conroy of Shore Capital and Corporate Limited acted as the financial advisors to Escape Hunt plc.