Valiant Eagle Inc. (OTC:PSRU) Stock On Radar After Expansion Agreements For Provinces in Canada

This morning, most investors are going to be looking into companies that were in the news cycle on Monday, and one of the companies that may find considerable traction is Valiant Eagle Inc. (OTC:PSRU). The company came into focus after significant news emerged about its majority-owned subsidiary unit, American Basketball Association Canada Inc. It was announced that the subsidiary had managed to sign a pair of MoUs (Memorandums of Understanding).

The path-breaking agreements signed by ABA Canada were a demonstration of its commitment to growing its presence in the Canadian basketball space. The development could be the start of a new, exciting chapter for both ABA Canada and its parent company, Valiant Eagle. As per the terms of the MOUs, the new owners of teams would get exclusive territory reservations, which would be awarded by ABA Canada. Each team owner would need to pay a license fee of $200,000. In the news release, it was also noted that the development also provided a glimpse into the commitment of Valiant Eagle to cash in on the strong potential of the Canadian basketball market.

Xavier Mitchell, who is the Chief Executive Officer of both ABA Canada and Valiant Eagle, spoke about the latest developments yesterday. He noted that everyone at Valiant Eagle was thrilled at the start of the potentially exciting new chapter through ABA Canada. He stated that the average income in Toronto as of January 2024 was $57,000, and the company wanted to ensure that the price points remained affordable for all families in the city.

More importantly, he noted that the league had not been created to compete with the NBA but was instead meant as a form of entertainment for those consumers who did not watch the American league. The agreements presented a major opportunity for growth, as per Mitchell.