HUMBL, Inc. and the Arena Football League (AFL) announced that HUMBL has been selected as the Official Technology Platform of the AFL through the 2028 season. HUMBL and the AFL will work together on website, digital wallet, ticketing integrations and more. The two companies will develop a digital platform 'Powered by HUMBL' that will integrate multiple technology and ticketing partners, while enhancing the digital fan experience using new technologies such as the HUMBL Wallet. HUMBL and theFL will work together to market the league and the game of Arena Football to fans in North America, and around the world, through multiple digital channels such as the AFL website, digital wallets and ticketing, verified merchandise and social media, and unique fan experiences. As part of the agreement, HUMBL will receive a percentage of revenues on all ticket sales throughout the lifecycle of the partnership.
Under the compensation terms of the Agreement, HUMBL will receive a service fee of $5.00 that will increase by $1.00 each year through 2028 (plus the credit card fee charged in connection with the transaction by the credit card company) from which it will pay AFL $1.00 on all tickets sold and processed exclusively through the HUMBL Tickets platform. The service fee received by HUMBL from AFL for any venues that do not accept HUMBL Tickets as the exclusive provider will be reduced to $2.00 in 2024, $3.00 in 2025, $4.00 in 2026, $4.50 in 2027 and $5.00 in 2028. HUMBL has agreed to issue shares of its common stock to AFL as follows: (a) 15,000,000 upon completion of the 2024 AFL football season; (b) 15,000,000 shares upon completion of the 2025 AFL football season; and (c) 15,000,000 shares upon completion of the 2026 AFL football season. If AFL sells more than $30,000,000 in tickets under the Agreement during the 2024 AFL football season, HUMBL will issue 15,000,000 shares of its common stock to AFL. HUMBL also agreed to pay the following stock compensation to AFL based on the number of new customers that download the HUMBL Wallet and purchase an AFL ticket during calendar year 2024: (x) 10,000,000 shares of HUMBL common stock for at least 250,000 but less than 500,000 HUMBL Wallet downloads; (y) 15,000,000 shares of HUMBL common stock for at least 500,000 but less than 1,000,000 HUMBL Wallet downloads; or (z) 25,000,000 shares of HUMBL common stock for 1,000,000 or more HUMBL Wallet downloads. The share numbers set forth above will automatically be adjusted in the event of a reverse split or other similar event.