Hudson Capital Prioritizes U.S. Operations and Sells Chinese Assets
April 01 2022 - 7:05AM
Hudson Capital Inc. (NASDAQ: HUSN) announced that on March 30,
2022, it has sold its wholly-owned subsidiary, Hong Kong Internet
Financial Services (HKIFS), to private investors.
Javier Selgas, CEO of Hudson Capital and Freight App, Inc.,
said, “As we focus more on our core business as a transportation
logistics technology platform company and on improving operations,
we decided it would be prudent to divest from any non-core,
non-performing businesses. With the sale of HJIFS, our operations
are 100% based in North America, creating room for long-term growth
in our target markets.”
TransactionThe sale of HKIFS was completed on
March 30, 2022 and included all of the prior operations,
obligations, and commitments related to its Chinese operations. The
sale of HKIFS will result in Hudson Capital departing from its
legacy PRC financial advisory business. The Company expects
immaterial financial effects from the sale outside of incurring
minimal legal expenses to assemble and formalize the
transaction.
About Hudson Capital Inc. and Freight App,
Inc.Freight App, Inc. (Fr8App), North American
transportation logistics technology platform company focused on
US-Mexico cross-border shipping, is a wholly-owned subsidiary of
Hudson Capital Inc. (NASDAQ: HUSN) headquartered in Houston, Texas.
Fr8App, focusing on truckload freight for domestic and cross-border
markets in Mexico, the US and Canada, makes shipping simple,
transparent, and efficient. Fr8App uses its proprietary technology
platform to connect carriers and shippers and significantly improve
matching and operation efficiency via innovative technologies such
as live pricing and real-time tracking, digital freight
marketplace, broker, transportation management, fleet management,
and committed capacity solutions.
Forward Looking StatementsThis press release
includes “forward-looking statements” within the meaning of the
“safe harbor” provisions of the United States Private Securities
Litigation Reform Act of 1995. Hudson Capital’s and Fr8App’s actual
results may differ from their expectations, estimates, and
projections and, consequently, you should not rely on these
forward-looking statements as predictions of future events. Words
such as “expect,” “estimate,” “project,” “budget,” “forecast,”
“anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,”
“believes,” “predicts,” “potential,” “continue,” and similar
expressions (or the negative versions of such words or expressions)
are intended to identify such forward-looking statements. These
forward-looking statements include, without limitation, Hudson
Capital’s and Fr8App’s expectations with respect to future
performance and anticipated financial impacts of the
acquisition.
These forward-looking statements involve significant risks and
uncertainties that could cause the actual results to differ
materially from those discussed in the forward-looking statements.
Most of these factors are outside Hudson Capital’s and Fr8App’s
control and are difficult to predict. Factors that may cause such
differences include, but are not limited to: (1) the impact of
COVID-19 pandemic on Fr8App’s business; (2) the inability to obtain
or maintain the listing of Hudson Capital’s ordinary shares on
Nasdaq; (3) the risk that the acquisition disrupts current plans
and operations as a result of the announcement and consummation of
the merger; (4) the ability to recognize the anticipated benefits
of the merger, which may be affected by, among other things,
competition, the ability of Fr8App to grow and manage growth
profitably, and retain its key employees; (5) costs related to the
merger; (6) changes in applicable laws or regulations; (7) the
possibility that Hudson Capital or Fr8App may be adversely affected
by other economic, business, and/or competitive factors; (8) risks
relating to the uncertainty of the projected financial information
with respect to Fr8App; (9) risks related to the organic and
inorganic growth of Fr8App’s business and the timing of expected
business milestones; and (10) other risks and uncertainties
identified, including those under “Risk Factors”, to be filed in
Hudson Capital’s other filings with the SEC. Hudson Capital
cautions that the foregoing list of factors is not exclusive.
Should one or more of these risks or uncertainties materialize, or
should underlying assumptions prove incorrect, actual results may
vary materially from those indicated or anticipated by such
forward-looking statements. Hudson Capital and Fr8App caution
readers not to place undue reliance upon any forward-looking
statements, which speak only as of the date made. Hudson Capital
and Fr8App do not undertake or accept any obligation or undertaking
to release publicly any updates or revisions to any forward-looking
statements to reflect any change in their expectations or any
change in events, conditions, or circumstances on which any such
statement is based.
Fr8App Contact:Kirsten Chapman, LHA Investor
Relations, fr8app@lhai.com, 415.433.3777
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