---
schema_version: "secwatch.filing_event.v1"
accession: "0001213900-23-068207"
form_type: "8-K"
ticker: "AGAE"
cik: "0001708341"
company_name: "Allied Gaming & Entertainment Inc."
filed_at: "2023-08-16T23:59:59+00:00"
generated_at: "2026-06-11T08:35:31.356762+00:00"
event_type: "m_and_a"
sentiment: "positive"
materiality_score: 0.7
calibrated_materiality_score: 0.7
confidence: "high"
source: SEC EDGAR
---

# AGAE acquires 40% of mobile games developer Zhihe for $7M, gains controlling board

## Summary
- Deal for $7M cash gives AGAE 40% equity stake in Beijing Lianzhong Zhihe Technology; closing expected by end of September 2023.
- AGAE will appoint 3 of 5 board members, becoming the largest shareholder with controlling interest.
- Zhihe generated ~$10M revenue in its first 9 months (2022) with positive EBITDA and net income; unaudited 2023 results show upward trend.
- Transaction is expected to be immediately accretive; post-acquisition financials will be consolidated into AGAE.
- Seller is Ourgame International Holdings, a major AGAE stockholder, making the transaction a related-party deal.

## SEC filing metadata
- accession: 0001213900-23-068207
- form_type: 8-K
- ticker: AGAE
- cik: 0001708341
- company_name: Allied Gaming & Entertainment Inc.
- filed_at: 2023-08-16T23:59:59+00:00
- event_type: m_and_a
- sentiment: positive
- materiality_score: 0.7
- calibrated_materiality_score: 0.7
- confidence: high
- sec_items: 1.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1708341/000121390023068207/0001213900-23-068207-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1708341/000121390023068207/ea183717-8k_alliedgaming.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001213900-23-068207
- JSON: https://secwatch.observer/filing/0001213900-23-068207.json
- Plain text: https://secwatch.observer/filing/0001213900-23-068207.txt

## Key facts
- Material Agreements
  Allied Gaming & Entertainment Inc. entered into Equity Interest Purchase Agreement with Beijing Lianzhong Co., Ltd. valued at $7,000,000 (effective 2023-08-16).
  - Action: entry
  - Agreement: asset purchase
  - Counterparty: Beijing Lianzhong Co., Ltd.
  - Value: $7,000,000
  - Effective: 2023-08-16
  source text: On August 16, 2023, Allied Mobile Entertainment (Hong Kong) Limited (“AME”), a wholly-owned subsidiary of Allied Gaming & Entertainment, Inc. (the “Company”), entered into an Equity Interest Purchase Agreement (the “Purchase Agreement”) with, among others, Beijing Lianzhong Co., Ltd. (the “Seller”) and Beijing Lianzhong Zhihe Technology Co., Ltd. (the “Target Company”), pursuant to which AME agreed to acquire 40% equity interest in the Target Company held by the Seller for a total purchase price of $7,000,000 in cash (the “Acquisition”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/1708341/000121390023068207/0001213900-23-068207-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.