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CMMB VISION HOLDINGS LIMITED
中 國 移 動 多 媒 體 廣 播 控 股 有 限 公 司
(Incorporated in the Cayman Islands with limited liability)
(Stock Code: 471)
MOU ACQUIRING IITH TO UPGRADE AND EXPAND ELECTRONIC PRODUCT
This announcement is made by CMMB Vision Holdings Limited. (the "Company", together with its subsidiaries, collectively, the "Group") on a voluntary basis.
The Company is pleased to announce that on 14 May 2021 (after trading hours), through its wholly-owned subsidiary CMMB Silkwave Limited has entered into a Memorandum of Understanding ("MOU") with International IT Hub Limited ( "IITH"). Pursuant to the MOU, the Company has conditionally agreed to acquire a controlling stake in IITH's equity and integrate IITH as a part of the printed circuit board ("PCB") trading business of the Company (the "Potential Acquisition"). The Potential Acquisition, if materialized, may constitute a discloseable transaction of the Company under Chapter 14 of the Listing Rules and is subject to the reporting and announcement requirements under the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited ( "Listing Rules").
IITH is a Hong Kong based premier provider of information technology (IT) and artificial intelligence (AI) based digital electronic products and solution for consumer and enterprise applications. Its flagship products include AI-based License Plate Recognition (LPR), AI- based Video Analytics (VA) & Face Recognition (FR) solutions which can be adopted by a variety of equipment for telecommunications, transportation, banking and finance, digital entertainment and logistics purposes.
IITH started in 2018 and has recorded rapid revenue and profit growth in the last two fiscal years with increasing business prospect.
The Potential Acquisition, if materializes, can add to the Company's traditional electronic component and PCB trading platform with an advanced and high-margined product line as well as original design and manufacturing ("ODM") capabilities, which together could significantly expand Company business scope and revenue stream while expanding the Company's contract- manufacturing based PCB business with sophisticated product development and manufacturing capabilities and evolving to be a more versatile electronic supplier catering to the coming digital and AI era.
All terms and conditions of the Potential Acquisition will be subject to the final agreement which both parties expect to enter as soon as practicable.
The Company will update shareholders of any material development as soon as applicable. The Potential Acquisition may or may not proceed, shareholders and potential investors are therefore advised to exercise caution when dealing in the Shares of the Company.
By order of the Board
CMMB Vision Holdings Limited
Wong Chau Chi
Hong Kong, 14 May 2021
As at the date of this announcement, the executive director is Mr. WONG Chau Chi; the non-executive directors are Dr. LIU Hui, Mr. CHOU Tsan-Hsiung and Mr. YANG Yi; and the independent non- executive directors are Dr. LI Shan, Dr. LI Jun and Mr. CHOW Kin Wing.