BEIJING, Nov. 1, 2019 /PRNewswire/ -- Huitao Technology Co., Ltd. (Nasdaq CM: HHT) (the "Company"), a company primarily focused on engineering, producing, servicing, delivering and pumping a comprehensive range of advanced ready-mix concrete materials for construction projects, announced today that it has entered into a non-binding Letter of Intent ("LOI") with Sunway Kids International Education Group Ltd Inc. ("Sunway Kids"), an education provider headquartered in China.
Pursuant to the terms of the LOI, HHT will acquire 100% of the outstanding shares of Sunway Kids from its shareholders. As the transaction proceeds, the Company will publicly disclose required information either through press releases or SEC filings, as appropriate.
Mr. Yang (Sean) Liu, the Chief Executive Officer of HHT stated, "we are very happy to pursue an acquisition of Sunway Kids International Education Group, which is a renowned education institution in China with an expert team experienced in early childhood development. It has been our plan to enter into new markets and restructure our business through merger and acquisition. We are now signing this Letter of Intent to officially kick off the valuation and due diligence process and looking forward to a successful deal with Sunway Kids and a smooth reorganization. Once the due diligence is completed, we'll start the process of entering into a definitive agreement."
Mr. Jun Lu, Chief Executive Officer of Sunway Kids, stated, "We believe that merging with HHT and becoming part of a Nasdaq-listed company will allow Sunway to expedite its business expansion in China's educational servicing market, gain additional opportunities to raise capital, and better motivate our highly skilled professional team. Sunway Kids is expected to leverage the US capital market to advance its AI and robotic technology being provided to Chinese educators and grow to a significant player in this emerging sector."
Completion of the transaction is subject to due diligence investigations by the relevant parties, the negotiation and execution of a definitive share exchange agreement, satisfaction of the conditions negotiated therein including the approval of the Company's Board of Directors and shareholders, approval by NASDAQ of the post-transaction entity's new listing application, and the satisfaction of other customary closing conditions. There can be no assurance that a definitive agreement will be entered into or that the proposed transaction will be consummated. Further, readers are cautioned that those portions of the LOI that describe the proposed transaction, including the consideration to be issued therein, are non-binding.
The Company is a holding company whose primary business operations are conducted through its wholly-owned subsidiaries Xin Ao Construction Materials, Inc. and Beijing Ao Hang Construction Materials Technology Co., Ltd., and our variable interest entity, Beijing Xin Ao Concrete Group and its subsidiaries. The Company engages in the production of advanced construction materials for large scale infrastructure, commercial and residential developments. The Company is primarily focused on engineering, producing, servicing, delivering and pumping a comprehensive range of advanced ready-mix concrete materials for highly technical, large scale, and environmentally-friendly construction projects. Ready-mixed concrete products are important building materials that are used in a vast majority of commercial, residential and public works construction projects. We are committed to conducting our operations with an emphasis on the extensive use of recycled waste materials, extending product life, the efficient production of our concrete materials with minimal energy usage, minimal dust and air pollution, and innovative products, methods and practices. For more information, please visit http://www.iphonem.com.
Sunway Kids Investment Holding Limited is an education and health service provider for children in China. With years of experience in the education, health and technology areas, and its extensive network of relations with day-cares and preschools, it helps schools in increasing education quality as well as derivative revenues by providing targeted courses and AI lessons for kids. It is also specialized in providing solutions to parents concerned about helping their children learn effectively through promoting family-use robotic products. It aims to be one of the leading platforms for Chinese families to share information and services for education and health.