NEW YORK, Jan. 3, 2017 /PRNewswire/ -- Wecast Network,
Inc. (NASDAQ: WCST) ("Wecast" or the "Company" or "WCST"),
announced today that its transaction with Sun Video Group HK
Limited ("SVG") for 51% purchase of M.Y. Products, LLC ("MYP"), a
video commerce and supply chain management operator, is progressing
in an encouraging manner and based on the few remaining
deliverables, is indicating a completion timeframe around the
Chinese New Year (end of
January).
As a reminder, through this transaction, Wecast is gaining both
a M2B or Manufacturer to Business, supply chain management operator
as well as a M2C or Manufacturer to Consumer, video commerce
operator, both of which will offer a full suite of pre-and
post-sale services including administration, product management,
logistics, financing, branding, licensing support and marketing for
Chinese manufacturers exporting to the U.S. MYP assists
Chinese manufacturer's revenue and profitability by reducing
exorbitant middlemen costs that exist today in the distribution
chain and allowing some of those savings to be reapportioned to
brand development and design. In December alone (based on
recently provided data from MYP management), over 160 exclusive
agreements have been signed with leading Chinese manufacturers for
US distribution.
As previously mentioned, SVG guarantees that MYP will
achieve $200 million in cumulative revenues and gain
profitability, within 12 months of closing the
transaction. If MYP fails to meet the guarantee, then SVG
shall forfeit back to the Company the YOD common stock it received,
on a pro-rata basis. The shares will be held in escrow until
the guarantee is met.
This deal with MYP is contingent upon, among other things, both
a fairness opinion and third-party valuation.
About Wecast Network Inc.
(http://corporate.wecastnetworkinc.com)
Wecast Network Inc (NASDAQ: WCST) is leveraging and optimizing
its current operations as a premium content Video On Demand service
provider in China to evolve into a
global, vertical, ubiquitous and transactional B2B2C,
mobile-driven, consumer management platform for both enterprises
and consumers. By aiming to establish the world's premier
multimedia, social networking and smart e-commerce-enabled network
with the largest global effective connected user base, Wecast,
through this expanded, cloud-based, ecosystem of connected screens
combined with strong partnerships with leading global providers,
will be capable of delivering a vast array of WCST/YOD–branded
products and services to enterprise customers and end-use consumers
- anytime and anywhere, across multiple platforms and
devices.
Wecast has content distribution agreements in place with many
of Hollywood's top studios including Disney Media
Distribution, Paramount Pictures, NBC Universal and Twentieth
Century Fox Television Distribution, Miramax, as well as a broad
selection of the best content from Chinese filmmakers. In
addition, the Company has governmental partnerships and licenses as
well as numerous JV partnerships and strategic cooperation
agreements with an array of distribution and content partners in
the global new media space. Wecast is headquartered in both
New York, NY and Beijing, China.
Safe Harbor Statement
This press release contains certain statements that may include
"forward looking statements." All statements other than statements
of historical fact included herein are "forward-looking
statements." These forward looking statements are often identified
by the use of forward-looking terminology such as "believes,"
"expects" or similar expressions, involve known and unknown risks
and uncertainties. Although the Company believes that the
expectations reflected in such forward-looking statements are
reasonable, they do involve assumptions, risks and uncertainties,
and these expectations may prove to be incorrect. You should not
place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. The Company's
actual results could differ materially from those anticipated in
these forward-looking statements as a result of a variety of
factors, including those discussed in the Company's periodic
reports that are filed with the Securities and Exchange Commission
and available on its website (http://www.sec.gov). All
forward-looking statements attributable to the Company or persons
acting on its behalf are expressly qualified in their entirety by
these factors. Other than as required under the securities laws,
the Company does not assume a duty to update these forward-looking
statements.
CONTACT:
Jason
Finkelstein
Director Strategy &
IR
Wecast Network,
Inc.
212-206-1216
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SOURCE Wecast Network, Inc.