Liang Tan Yi Xing International Foundation Company Limited entered into an agreement to acquire Redgate Ventures Group from Inno-Tech Holdings Limited (SEHK:8202) for HKD 0.5 million on April 25, 2014. In related transactions, an open offer, share consolidation and restructuring were announced. As per the terms of the deal, 10 million shares of Redgate Ventures Group will be transacted. Redgate Ventures and its subsidiaries will cease to be subsidiaries of Inno-Tech Holdings Limited. Redgate Ventures Group had revenue of HKD 37.29 million, loss before income tax of HKD 20.56 million and loss after income tax of HKD 23.67 million for the 6 month period ended December 31, 2013.

The deal is subject to obtaining approval for the deal at the general meeting, consummation of due diligence investigation and completion of restructuring. If the transaction is not completed by August 31, 2014, transaction will be terminated. The gross proceeds of the disposal will be used as general working capital of Inno-Tech Holdings Limited. Directors consider that the terms and conditions of the sale agreement are fair and reasonable and are on normal commercial terms and that it is in the interest of Inno-Tech Holdings Limited. Inno-Tech Holdings Limited expects to recognize a gain from the disposal of approximately HKD 207.1 million.

Liang Tan Yi Xing International Foundation Company Limited cancelled the acquisition of Redgate Ventures Group from Inno-Tech Holdings Limited (SEHK:8202) on September 1, 2014. As the conditions to the agreement are not fulfilled on or before August 31, 2014, being the long stop date for the fulfillment of the conditions, the parties agreed to terminate the agreement.