NEW YORK, Feb. 26, 2021 /PRNewswire/ -- Future FinTech
Group Inc. (NASDAQ: FTFT) ("hereinafter referred to as "Future
FinTech", "FTFT" or "the Company"), a leading blockchain e-commerce
company and a service provider for financial technology, today
announced updates as to three potential acquisitions; a delay in
its acquisition of 90% of the issued and outstanding shares of Nice
Talent Asset Management Limited ("NTAM"), and the termination of
the potential acquisitions of Blocknance Financial International
SRL ("Blocknance") and Asiasens Investment Holding Pte. Ltd.
("Asiasens").
As previously announced on July 16,
2020, the Company entered into a Share Exchange Agreement
(the "Agreement") with Joy Rich Enterprises Limited ("Joy Rich") to acquire 90% of the issued and
outstanding shares of NTAM, a Hong Kong-based asset management
company. However, the closing process was impacted by both the
Covid-19 global pandemic and slow regulatory approval from
Hong Kong regulatory agencies.
Consequently, there had been delayed progress as to the closing of
the acquisition. The closing date as stipulated in the Agreement
was no later than December 31, 2020,
but since July 2020 there have been
changes in NTAM's business performance as well as the price of
FTFT's common stock. At present, the parties have agreed to
renegotiate the purchase price in accordance with a new valuation
of NTAM and the recent stock price level of the Company for the
share exchange transaction.
As previously announced on January 4,
2021, the Company signed a term sheet with Blocknance, a
company incorporated in the Dominican Republic, and its
selling shareholders, to acquire 60% of the total issued and
outstanding shares of Blocknance. After further negotiation of
the details of the potential acquisition, the parties were unable
to reach an agreement for the potential acquisition and have agreed
to terminate the potential transaction contemplated in the term
sheet.
As previously announced on December 18,
2020, the Company entered into a Share Exchange Agreement
(the "Exchange Agreement") with Asiasens, a company incorporated under the laws of
Singapore and Asen Maneuvre Group
Limited ("Asen Maneuvre"), a limited company organized under the
laws of British Virgin Islands, to acquire 70.59% of the
equity interest of Asiasens from Asen Maneuvre. The Exchange
Agreement contains certain closing conditions, including that
Asiasens will terminate its variable interest entity ("VIE")
agreements with four VIEs in Indonesia and change its controlling interest
in PT Permata Techno Indonesia ("PTI") from a VIE structure to a
direct equity ownership structure. The Exchange Agreement
stipulated that if the closing conditions of the Exchange Agreement
have not been fulfilled on or before January
31, 2021, or such later date as the parties agree to in
writing, the Exchange Agreement shall cease to be effective, and
thereafter neither party shall have any obligations and liabilities
towards each other thereunder. As the closing conditions to the
Exchange Agreement were not satisfied on January 31, 2021, and since the parties were
unable to agree on new terms to extend the closing period
subsequent to February 1, 2021, the
Company has notified Asen Maneuvre and Asiasens the termination of
the Exchange Agreement.
The Company believes that the termination of the term sheet and
the Exchange Agreement are in the best interests of the Company and
its shareholders. The Company's strategy continues to focus on
the development of its financial technology business and services
through acquisitions.
"Our value proposition includes the financial technology
business and integration of successful blockchain platforms into
our business model as well as entry into new markets, and we will
continue to assess opportunities for strategic growth as we move
forward," commented Shanchun Huang,
Chief Executive Officer of Future FinTech. "While we are
disappointed that two of these potential ventures did not go
forward, we are confident that we are on an upward trajectory in
expanding our presence in the field of fintech and financial
services which remains a key element of our development plan."
About Future FinTech Group Inc.
Future FinTech Group Inc. ("Future FinTech", "FTFT" or the
"Company") is a leading blockchain e-commerce company and a
service provider for financial technology incorporated
in Florida. The Company's operations include a
blockchain-based online shopping mall platform, Chain Cloud Mall
("CCM"), a cross-border e-commerce platform (NONOGIRL), an
incubator for blockchain based application projects. The Company is
also engaged in the development of blockchain based e-Commerce
technology as well as financial technology. For more information,
please visit http:/www.ftftex.com/.
Safe Harbor Statement
Certain of the statements made in this press release are
"forward-looking statements" within the meaning and protections of
Section 27A of the Securities Act of 1933, as amended and Section
21E of the Securities Exchange Act of 1934, as amended, or the
Exchange Act. Forward-looking statements include statements with
respect to our beliefs, plans, objectives, goals, expectations,
anticipations, assumptions, estimates, intentions, and future
performance, and involve known and unknown risks, uncertainties and
other factors, which may be beyond our control, and which may cause
the actual results, performance, capital, ownership or achievements
of the Company to be materially different from future results,
performance or achievements expressed or implied by such
forward-looking statements. All statements other than statements of
historical fact are statements that could be forward-looking
statements. You can identify these forward-looking statements
through our use of words such as "may," "will," "anticipate,"
"assume," "should," "indicate," "would," "believe," "contemplate,"
"expect," "estimate," "continue," "plan," "point to," "project,"
"could," "intend," "target" and other similar words and expressions
of the future.
All written or oral forward-looking statements attributable
to us are expressly qualified in their entirety by this cautionary
notice, including, without limitation, those risks and
uncertainties described in our annual report on Form 10-K for the
year ended December 31,
2019 and otherwise in our SEC reports and filings,
including the final prospectus for our offering. Such reports are
available upon request from the Company, or from the Securities and
Exchange Commission, including through the SEC's Internet website
at http://www.sec.gov. We have no obligation and do not
undertake to update, revise or correct any of the forward-looking
statements after the date hereof, or after the respective dates on
which any such statements otherwise are made.
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SOURCE Future FinTech Group Inc.