Hen Soup for the Soul Enjoyment to Obtain Redbox,

Mix results in foremost independent, integrated direct-to-client media platform providing top quality enjoyment for worth acutely aware individuals

Types streaming industry’s leading impartial AVOD platforms

Management to host convention call and live webcast on May possibly 11, 2022 at 8:30 am ET

COS COB, Conn., May well 11, 2022 (Globe NEWSWIRE) — Rooster Soup for the Soul Leisure, Inc. (Nasdaq: CSSE), just one of the major operators of advertising-supported movie-on-need (AVOD) streaming services, and Redbox Amusement Inc. (Nasdaq: RDBX), a main amusement firm, have entered into a definitive arrangement below which Chicken Soup for the Soul Enjoyment will purchase Redbox.

The mixture of Chicken Soup for the Soul Entertainment and Redbox will produce a major independent, integrated immediate-to-consumer media system offering high quality leisure for worth acutely aware buyers. The combined business will have improved scale across information output and distribution, with a substantial material library, more than 38,000 kiosks nationwide, comprehensive digital abilities in AVOD, TVOD, PVOD, and Quick, and access to millions of qualified buyers, including just about 40 million Redbox Perks users.

Together, the mixed providers will have the industry’s premier, independent AVOD platforms, a person of the fastest developing segments of the over-all amusement sector. According to a the latest research by IAB, ad paying on linked Television set platforms increased 57% from 2020 to 2021 and is anticipated to maximize one more 39% this 12 months.

“Today marks a transformative minute for Rooster Soup for the Soul Entertainment and an inflection place for the advertisement-supported streaming field,” claimed William J. Rouhana Jr., chairman and main executive officer of Chicken Soup for the Soul Amusement. “Our acquisition of Redbox will speed up the scaling of our enterprise as it brings together complementary teams and expert services to generate the streaming industry’s premier independent AVOD. Redbox has 40 million customers in its loyalty application and large-opportunity electronic tv property like carriage of in excess of 130 Fast digital channels on its Free of charge Dwell Television set system, as nicely as a sturdy TVOD and PVOD system. Collectively, we will create a entirely designed AVOD and Quickly streaming organization: established branded streaming products and services, formidable written content and creation capabilities, and a strong AVOD and Quick ad sales operation.”

“We feel that Rooster Soup for the Soul Enjoyment is the perfect lover for Redbox. By joining forces, we will speed up Redbox’s transition from a bodily to superior expansion digital media business and be the only enjoyment provider certainly targeted on value for people,” reported Galen Smith, chief executive officer of Redbox. “This all-inventory transaction offers Redbox stockholders with the opportunity to participate in the important in close proximity to- and long-term upside probable of a diversified and expanding enterprise with larger scale and means. With our footprint of a lot more than 38,000 kiosks, various articles libraries and blended streaming platforms, we will be effectively positioned to provide people a prosperity of high-high quality entertainment selections.”

Rouhana ongoing, “More and extra viewers are embracing ad-supported streaming offerings in a material ecosystem characterised by wire-cutting and saturation of superior-priced membership products and services. Near term, these problems are even a lot more acute in opposition to a macro backdrop of rising inflation and economic uncertainty. With the blend of a huge written content library, electronic AVOD and Quickly channel capabilities, and an growing world wide audience, we consider that we will be equipped to supply additional enjoyable premium enjoyment for tens of millions of worth mindful viewers and push additional growth and benefit generation for our stockholders.”

Monetarily Persuasive

The mix is envisioned to be accretive to Adjusted EBITDA in 2023, with numerous prospects to cross-sell each company’s buyer foundation across digital homes, distribute Screen Media titles by using Redbox kiosks and leverage tech and know-how to totally capitalize on Redbox’s AVOD chance. The organization expects to deliver yearly-run fee price tag synergies in surplus of $40 million in 2023. Chicken Soup for the Soul Leisure expects that the mixed enterprise will exit 2022 with a run-rate exceeding $500 million of profits and $100 – $150 million of Adjusted EBITDA.

Transaction Aspects

Under the phrases of the arrangement, which has been accredited by the Boards of Administrators of both equally organizations, Redbox stockholders will receive a fastened trade ratio of .087 of a share of course A typical inventory of Hen Soup for the Soul Leisure for every Redbox share. Adhering to the close of the transaction, Hen Soup for the Soul Amusement stockholders will very own somewhere around 76.5% of the merged enterprise, and Redbox stockholders will very own somewhere around 23.5% of the combined firm, on a absolutely diluted foundation.

Timing and Approvals

Redbox stockholders keeping roughly 86% of the Redbox voting electric power have entered into a voting settlement to approve the transaction. Rooster Soup for the Soul Leisure stockholders holding about 91% of the voting ability of Chicken Soup for the Soul Enjoyment have sent a penned consent approving the transaction.

The transaction is expected to close in the 2nd half of 2022, issue to the receipt of necessary regulatory approvals and other customary closing disorders. On closing, the mixed entity will keep the name Hen Soup for the Soul Enjoyment and will keep on to trade under the ticker image “CSSE” on the Nasdaq inventory exchange.

Advisors
Guggenheim Securities, LLC is serving as monetary advisor to Rooster Soup for the Soul Enjoyment and Brian Ross of Graubard Miller is serving as authorized counsel to Chicken Soup for the Soul Entertainment. PJT Partners and Kroll, LLC are serving as monetary advisors to Redbox. Weil, Gotshal & Manges LLP is serving as lawful counsel to Redbox.

Convention Call
The administration of Chicken Soup for the Soul Amusement and Redbox will host an investor meeting get in touch with currently, Might 11, 2022, at 8:30 a.m. ET, to discuss the proposed transaction as very well as Rooster Soup for the Soul Entertainment’s outcomes for its initial quarter ended March 31, 2022. For fascinated traders who would like to participate, the domestic toll-free entry range is (888) 428-7458 and the global toll-free access amount is (862) 298-0702. At the time connected with the operator, request entry to the Chicken Soup for the Soul First Quarter 2022 Earnings Conference Contact.

A webcast of the connect with will also be offered at the functions section of the Chicken Soup for the Soul Entertainment investor relations internet site: https://ir.cssentertainment.com/.

An investor presentation with a lot more detailed data regarding the proposed transaction will be furnished by Rooster Soup for the Soul Amusement with the SEC underneath go over of a Present Report on Kind 8-K, which can be viewed on the SEC’s web-site: www.sec.gov. This presentation will also be offered on the Hen Soup for the Soul trader relations website: https://ir.cssentertainment.com/.

About Hen Soup for the Soul Entertainment
Rooster Soup for the Soul Entertainment, Inc. (Nasdaq: CSSE) operates video clip-on-demand streaming companies (VOD). The company owns Crackle In addition, which owns and operates a range of ad-supported VOD streaming services such as Crackle, Hen Soup for the Soul, Popcornflix, Popcornflix Children, Truli, Pivotshare, Españolflix and FrightPix. The corporation also acquires and distributes video content by its Monitor Media and 1091 Shots subsidiaries and generates initial video clip content through the Rooster Soup for the Soul Television Group. Chicken Soup for the Soul Enjoyment is a subsidiary of Chicken Soup for the Soul, LLC, which publishes the popular book collection and makes super-top quality pet food items less than the Rooster Soup for the Soul model title.

About Redbox
Redbox Entertainment Inc. (NASDAQ: RDBX) is a main leisure firm that gives consumers access to a huge variety of information across digital and physical media. The firm operates a rapidly developing digital streaming support that offers both advertisement supported (AVOD) and paid out flicks from Hollywood studios and hundreds of information associates, as perfectly as about 130 channels of free advertisement supported streaming television (Quick). The Redbox app is available on major enjoyment platforms that include Roku equipment, connected TVs, gaming platforms, the website as properly iOS and Android units. Redbox also operates its well-known kiosks across the US at hundreds of retail spots – providing customers affordable obtain to the hottest in entertainment. The business creates, acquires, and distributes flicks by its Redbox Entertainment™ label, supplying rights to talent-led movies that are dispersed throughout Redbox’s electronic and bodily products and services as very well as by means of 3rd-party electronic products and services. Headquartered just exterior of Chicago, Redbox has offices in Los Angeles and Seattle. For a lot more information, visit www.redbox.com.

Ahead-Wanting Statements
This conversation relates to a proposed enterprise mixture transaction involving Chicken Soup for the Soul Amusement, Inc. (“CSSE”) and Redbox Amusement Inc. (“RDBX”). This interaction includes “forward-searching statements” within the this means of the federal securities regulations. Ahead-looking statements tackle a variety of subjects, together with, for case in point, projections as to the anticipated added benefits of the proposed transaction, the expected effects of the proposed transaction on the combined organization’s company and upcoming fiscal and working results, the expected total and timing of synergies from the proposed transaction, and the expected closing date for the proposed transaction. Statements that are not historical points, including statements about CSSE’s and RDBX’s beliefs, strategies and anticipations, are forward-looking statements. This kind of statements are dependent on CSSE’s and RDBX’s present anticipations and are subject to a quantity of variables and uncertainties, which could bring about actual results to vary materially from those explained in the forward-on the lookout statements. Forward-on the lookout statements typically incorporate phrases such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “will,” “estimate,” “would,” “target” and comparable expressions, as very well as variations or negatives of these words. The next essential components and uncertainties, between other people, could bring about precise results to vary materially from those people described in these forward-searching statements: the uncertainty as to the extent of the period, scope and impacts of the COVID-19 pandemic political and financial uncertainty, which includes any faltering in world financial disorders or the steadiness of credit rating and money markets, erosion of shopper self confidence and declines in shopper spending unavailability of raw resources, products and services, materials or manufacturing capability modifications in geographic scope or solution or buyer blend changes in export classifications, import and export polices or responsibilities and tariffs changes in CSSE’s or RDBX’s estimates of their expected tax amount based mostly on present tax law CSSEs ability to successfully integrate RDBX’s companies and systems the hazard that the envisioned added benefits and synergies of the proposed transaction and advancement prospects of the blended business may perhaps not be entirely obtained in a well timed way, or at all adverse success in litigation matters, together with the potential for litigation related to the proposed transaction the hazard that CSSE or RDBX will be unable to retain and employ the service of crucial personnel the threat related with CSSE’s and RDBX’s potential to receive the approvals of their respective stockholders needed to consummate the proposed transaction and the timing of the closing of the proposed transaction, such as the hazard that the circumstances to the transaction are not content on a well timed basis or at all or the failure of the transaction to close for any other cause or to near on the predicted conditions, which includes the predicted tax therapy the possibility that any regulatory acceptance, consent or authorization that may well be needed for the proposed transaction is not acquired or is attained subject to circumstances that are not predicted unanticipated difficulties or expenditures relating to the transaction, the reaction of company companions and retention as a end result of the announcement and pendency of the transaction uncertainty as to the very long-term benefit of CSSE’s widespread inventory and the diversion of administration time on transaction-connected issues. These dangers, as effectively as other dangers related to the proposed transaction, will be incorporated in the registration assertion on Sort S-4 and proxy assertion/prospectus that will be filed with the Securities and Exchange Fee (the “SEC”) in link with the proposed transaction. Although the listing of aspects introduced here is, and the record of factors to be offered in the registration assertion on Form S-4 are, viewed as representative, no this kind of list should be regarded to be a total statement of all opportunity hazards and uncertainties. For additional facts about other components that could lead to actual final results to vary materially from all those explained in the ahead-looking statements, make sure you refer to CSSE’s and RDBX’s respective periodic experiences and other filings with the SEC, such as the danger elements contained in CSSE’s and RDBX’s most latest Quarterly Experiences on Variety 10-Q and Once-a-year Studies on Kind 10-K. Forward-wanting statements represent management’s existing anticipations and are inherently unsure and are created only as of the date hereof. Except as necessary by regulation, neither CSSE nor RDBX undertakes or assumes any obligation to update any forward-looking statements, whether or not as a end result of new information and facts or to replicate subsequent gatherings or circumstances or usually.

No Provide or Solicitation
This conversation is not meant to and shall not constitute an provide to get or provide or the solicitation of an present to acquire or provide any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which this sort of give, solicitation or sale would be illegal prior to registration or qualification under the securities regulations of any this kind of jurisdiction. No presenting of securities shall be made, apart from by suggests of a prospectus assembly the prerequisites of Portion 10 of the U.S. Securities Act of 1933, as amended.

Additional Details and Wherever to Locate It
In link with the proposed transaction, CSSE intends to file with the SEC a registration assertion on Kind S-4 that will involve a proxy assertion of RDBX and that also constitutes a prospectus and Data Statement of CSSE. Each individual of CSSE and RDBX may perhaps also file other applicable paperwork with the SEC regarding the proposed transaction. This document is not a substitute for the proxy statement/Information Assertion/prospectus or registration assertion or any other document that CSSE or RDBX may well file with the SEC. The definitive proxy statement/Details Statement/prospectus (if and when obtainable) will be mailed to stockholders of CSSE and RDBX. Buyers AND Protection HOLDERS ARE URGED TO Examine THE REGISTRATION Assertion, PROXY Assertion/Info Statement/PROSPECTUS AND ANY OTHER Relevant Paperwork THAT Might BE Submitted WITH THE SEC, AS Perfectly AS ANY AMENDMENTS OR Dietary supplements TO THESE Documents, Carefully AND IN THEIR ENTIRETY IF AND WHEN THEY Grow to be Offered Mainly because THEY Include OR WILL Have Essential Details ABOUT THE PROPOSED TRANSACTION. Buyers and security holders will be able to get hold of free of charge copies of the registration assertion and proxy assertion/Info Assertion/prospectus (if and when obtainable) and other paperwork containing essential details about CSSE, RDBX and the proposed transaction, as soon as such paperwork are filed with the SEC through the web page preserved by the SEC at http://www.sec.gov. Copies of the documents filed with the SEC by CSSE will be offered totally free of demand on CSSE’s web-site at https://ir.cssentertainment.com/ or by speaking to CSSE’s Investor Relations Department by email at [email protected] or by phone at 646-776-0886. Copies of the documents filed with the SEC by RDBX will be offered free of demand on RDBX’s website at https://investors.redbox.com/ or by getting in contact with Zaia Lawandow at [email protected]

Certain Facts Relating to Individuals in the Solicitation
CSSE, RDBX and particular of their respective administrators and government officers may perhaps be deemed to be contributors in the solicitation of proxies in respect of the proposed transaction. Information about the administrators and executive officers of CSSE, which includes a description of their direct or indirect passions, by protection holdings or otherwise, is set forth in CSSE’s proxy assertion for its 2021 yearly meeting of stockholders, which was submitted with the SEC on April 30, 2021, and CSSE’s Yearly Report on Kind 10-K for the fiscal calendar year finished December 31, 2021, which was filed with the SEC on March 31, 2022 and on its web-site at https://ir.cssentertainment.com/. Information about govt officers of RDBX, which include a description of their immediate or indirect pursuits, by stability holdings or in any other case, is established forth in RDBX’s proxy assertion for its 2021 yearly conference of stockholders, which was filed with the SEC on Oct 15, 2021, and RDBX’s Annual Report on Sort 10-K for the fiscal yr finished December 31, 2021, which was filed with the SEC on April 15, 2022 and on its internet site at https://traders.redbox.com/. Information and facts about the directors of RDBX and other participants in the proxy solicitations, will be contained in the proxy assertion/prospectus and other applicable materials to be filed with the SEC relating to the proposed transaction when this kind of materials develop into accessible. Traders really should read through the proxy statement/prospectus meticulously when it will become accessible just before producing any voting or investment decision decisions. You may perhaps acquire free of charge copies of these paperwork from CSSE or RDBX employing the sources indicated over.

Rooster Soup for the Soul Amusement Investor Relations
Taylor Krafchik
Ellipsis
[email protected]
(646) 776-0886

Rooster Soup for the Soul Amusement Media Get in touch with
Kate Barrette
RooneyPartners LLC
[email protected]
(212) 223-0561

Redbox Investor Relations & Media Speak to
Zaia Lawandow
Redbox
[email protected]