Mr. Konrad Wasiela reports

ESE AND METAPRO PARTNER WITH VIRTUAL DRIFTMASTERS TO LAUNCH ONE OF THE WORLD'S LARGEST ESPORT RACING EVENTS

ESE Entertainment Inc. has arranged a strategic collaboration with Metapro as a technology partner for the Virtual Driftmasters series.

For 10 years, Drift Masters has captivated audiences with exhilarating drift racing events across Europe. The 2023 Drift Masters Finale had a record 55,000 drift fans attend in person at the PGE Stadium in Europe.

On-line broadcasts of the events have reached over seven million viewers worldwide. Now, by embracing digital motorsports, Drift Masters aims to replicate this excitement in the virtual world, starting with the inaugural Virtual Driftmasters competition.

Virtual Driftmasters is a digital racing competition within the video game called Assetto Corsa. The role of ESE Entertainment and Metapro is to transform the traditional motorsport event into a fully on-line e-sports event. Players from around the globe can register to compete in virtual races that mimic the actual real-world drift racing tracks. The event is designed for gaming enthusiasts and a wider audience, including fans of traditional motorsports, offering a new way to engage with the sport.

Registration opened on April 2, 2024, at 6 p.m. CET, and within hours of opening registration, the event experienced several hundred professional competitors from over 50 countries signing up to compete. This impressive early turnout underscores the global appeal and anticipation for this novel series, setting the stage for a highly competitive season.

Metapro and ESE's role

Metapro has been instrumental in the development and launch of the Virtual Driftmasters series. The initial phase has successfully been completed with the launch of the Virtual Drift Masters portal, where competitors can now register for the first season. This portal is the gateway for participants to enter the event.

Metapro will leverage its advanced technological solutions for the Virtual Driftmasters portal and application. This partnership includes the intricate task of replicating real-world tracks as mods in Assetto Corsa, ensuring an authentic and immersive racing experience for participants.

ESE Entertainment will be responsible for on-line event execution, bringing the Virtual Driftmasters series to life. The team aims to deliver unparalleled event execution, enhancing the competitive and viewing experience for fans around the globe.

In the coming days, the Virtual Drift Masters app will be made available to the public, enhancing the experience and accessibility of the series. Alongside these developments, Metapro has also unveiled the latest version of the Metapro wallet, showcasing its commitment to integrating new technology within e-sports.

A significant innovation introduced by Metapro for this series is the MetaproID, a novel concept that combines Web2 and Web3 user profiles. This feature is set to revolutionize how participants interact within the Virtual Driftmasters ecosystem, offering a seamless and integrated user experience that bridges traditional on-line platforms with the emerging Web3 space.

Konrad Wasiela, chief executive officer of ESE, expressed excitement about the launch: "Virtual Driftmasters is more than just a competition; it's a testament to the power of collaboration between technology and motorsport. Thanks to Metapro's technological expertise, we're able to offer an unparalleled virtual drifting experience. This series is a leap forward in our mission to blend gaming, sports and entertainment into compelling, innovative experiences."

With the Virtual Driftmasters series, ESE and Metapro invite motorsport enthusiasts and gamers to be part of the event that pushes the boundaries of what is possible in the world of e-sports and on-line racing.

ESE also announces grant of restricted share units

ESE has granted options to purchase an aggregate of 750,000 common shares in the capital of the company as well as awarded an aggregate of 6.65 million restricted share units certain directors, officers and consultants pursuant to the company's equity incentive plan. The options are exercisable for a period of three years from the date of grant at a price of 12 cents per share. All options vest 100 per cent on the date of grant. Each RSU represents the right to receive, once vested, one share. The RSUs will vest 12 months from the date of the RSU award. Of the awards granted, 3.05 million RSUs and 300,000 options were granted to directors or officers of the company. The company relied on Section 5.5(a) of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions, as the exemption from the formal valuation requirements of MI 61-101 and Section 5.7(1)(a) of MI 61-101 as the exemption from the minority approval requirements of MI 61-101 in respect of the award grants to the directors and officers of the company as neither the fair market value of the subject matter of nor the fair market value of the consideration for the awards granted to the directors and officers of the company exceeded 25 per cent of the company's market capitalization.

About ESE Entertainment Inc.

ESE is a global technology company focused on gaming. The company provides a range of services to leading video game developers, publishers and brands by providing technology, infrastructure and fan engagement services internationally. ESE also operates its own e-commerce channels, e-sports teams and gaming leagues.

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