MultiMetaVerse Holdings signs agreement to acquire Bowong AI Limited, enhancing its AI e-commerce capabilities.
Quiver AI Summary
MultiMetaVerse Holdings Limited (NASDAQ: MMV), a prominent animation and entertainment company in China, announced a definitive share exchange agreement with the shareholders of Bowong AI Limited, which aims to acquire 100% of Bowong Technology (Shenzhen) Co., Ltd. This technology firm specializes in AI solutions for e-commerce. According to the agreement, MMV will issue 37 million Class A ordinary shares to the Transferors in exchange for all their shares in Bowong Cayman. Upon finalization of this transaction, Bowong Cayman will become a wholly-owned subsidiary of MMV, consolidating Bowong Technology and its affiliates under the company. The agreement follows a previous non-binding term sheet and is contingent upon customary closing conditions and corporate approvals. The completion of this transaction remains uncertain.
Potential Positives
- MultiMetaVerse Holdings Limited has signed a definitive share exchange agreement to acquire Bowong AI Limited, which positions the company to enhance its capabilities in the AI e-commerce sector.
- Upon completion of the transaction, Bowong Technology will become a wholly-owned subsidiary, allowing MMV to consolidate new technologies and services that can drive growth in e-commerce.
- The acquisition reflects MMV's strategy to leverage cutting-edge technologies, potentially expanding its product offerings and improving its competitive position in the animation and entertainment market.
- The significant issuance of 37,000,000 Class A ordinary shares shows strong confidence from MMV's management in the value of the transaction and its potential contributions to future growth.
Potential Negatives
- The completion of the transaction is contingent on corporate and other approvals, with no assurance it will be completed in a timely manner or at all.
- The need for a significant share issuance (37,000,000 Class A ordinary shares) may dilute existing shareholders' equity and potentially impact stock value negatively.
- Forward-looking statements highlight risks and uncertainties related to the company's ability to execute its business plans and meet financial projections, which could affect investor confidence.
FAQ
What is the recent Share Exchange Agreement about?
MultiMetaVerse Holdings Limited signed an agreement to acquire Bowong AI Limited, enhancing its position in the AI e-commerce sector.
How many shares will MultiMetaVerse issue in the transaction?
The Company will issue 37,000,000 Class A ordinary shares to the Transferors in exchange for all shares of Bowong Cayman.
What subsidiary will Bowong Cayman become?
Bowong Cayman will become a wholly-owned subsidiary of MultiMetaVerse Holdings Limited upon completion of the transaction.
What does Bowong Technology specialize in?
Bowong Technology provides AI technologies and services for sellers on various e-commerce platforms, both social and traditional.
What risks are associated with this transaction?
The transaction is subject to approvals and closing conditions, with no assurance of timely completion or success.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$MMV Hedge Fund Activity
We have seen 1 institutional investors add shares of $MMV stock to their portfolio, and 5 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- RENAISSANCE TECHNOLOGIES LLC removed 42,100 shares (-100.0%) from their portfolio in Q3 2024
- UBS GROUP AG removed 25,835 shares (-63.8%) from their portfolio in Q3 2024
- HRT FINANCIAL LP removed 25,793 shares (-100.0%) from their portfolio in Q3 2024
- XTX TOPCO LTD added 23,418 shares (+inf%) to their portfolio in Q3 2024
- VIRTU FINANCIAL LLC removed 14,529 shares (-100.0%) from their portfolio in Q3 2024
- TWO SIGMA SECURITIES, LLC removed 14,258 shares (-100.0%) from their portfolio in Q2 2024
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
SHANGHAI, Dec. 02, 2024 (GLOBE NEWSWIRE) -- MultiMetaVerse Holdings Limited (NASDAQ: MMV) (“MMV” or the “Company”), a leading animation and entertainment company for young consumers in China, today announced that it has signed a definitive share exchange agreement (the “Share Exchange Agreement”) with the shareholders (the “Transferors”) of Bowong AI Limited (“Bowong Cayman”), which, after a series of restructuring transactions, is expected to indirectly hold 100% equity interests in Bowong Technology (Shenzhen) Co., Ltd. (“Bowong Technology”). Bowong Technology is a company equipped with cutting-edge technologies that is vertically integrated in the AI e-commerce sector. It focuses on delivering comprehensive AI technologies and services for sellers on both emerging social e-commerce platforms and traditional e-commerce platforms.
The Share Exchange Agreement supersedes a non-binding term sheet between the Company and Bowong Technology, which was announced on October 2, 2024. Pursuant to the Share Exchange Agreement, each of the Transferors agrees to sell and transfer to the Company all of the shares of Bowong Cayman he beneficially owns, and in exchange and as consideration therefor, the Company agrees to issue and allot an aggregate of 37,000,000 Class A ordinary shares to such Transferors. Upon completion of the foregoing, Bowong Cayman will become a wholly-owned subsidiary of the Company, and Bowong Technology and all the subsidiaries and affiliates controlled by it will become consolidated subsidiaries and affiliates of the Company.
The transaction is subject to the completion of the requisite corporate and other approvals and customary closing conditions. There can be no assurance that the transaction will be consummated in a timely manner, or at all.
About MultiMetaVerse Holdings Limited
MultiMetaVerse Holdings Limited (NASDAQ: MMV) is an animation and entertainment company dedicated to providing a high-quality, immersive entertainment experience through original, user-generated, and professional user-generated content. MMV commenced animation production in 2015 under its signature Aotu World brand, which has attracted a broad following with its inspiring storyline and unique graphic style, particularly among younger audiences in China. By leveraging the company’s established user base, MMV has built a diverse product portfolio, including animated content, comic books, short videos, collectibles, stationery, consumer products, and mobile games across the Aotu World brand. It has also developed and augmented new brands, stories, and characters, such as Neko Album.
Safe Harbor Statements
This press release contains forward-looking statements which generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Without limiting the generality of the foregoing, the forward-looking statements in this press release include descriptions of the Company’s future commercial operations. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, such as the Company’s inability to implement its business plans, identify and realize additional opportunities, or meet or exceed its financial projections and changes in the regulatory or competitive environment in which the Company operates. You should carefully consider the foregoing factors and the other risks and uncertainties described in the Company’s Annual Report on Form 20-F and other documents filed or to be filed by the Company with the SEC from time to time, which could cause actual events and results to differ materially from those contained in the forward-looking statements. All information provided herein is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.
For more information, please visit https://www.multi-metaverse.com/.
For investor and media inquiries, please contact:
MultiMetaVerse Holdings Limited
Investor Relations
E-mail: [email protected]