Addentax Group Corp. Announces Private Placements of its Common Stock

Rhea-AI Summary

Addentax Group Corp. announced entering into Private Placement Agreements with two independent investors, resulting in $646,800 gross proceeds from the sale of 660,000 shares of common stock at $0.98 per share. The agreements include standard terms and conditions.

SHENZHEN, China, April 29, 2024 /PRNewswire/ -- Addentax Group Corp. ("Addentax" or the "Company") (Nasdaq: ATXG), an integrated service provider focusing on garment manufacturing, logistics services, property management, and subleasing, has announced that it has entered into Private Placement Agreements (the "Agreements") with two investors (the "Investors"), who are independent third parties. Under the Agreements, the Company will sell to each of the investor 330,000 shares of common stock at a purchase price of $0.98 per share, resulting in aggregate gross proceeds of $646,800. The Agreement includes customary representations, warranties, covenants, conditions, and indemnities typical for agreements of this nature.

This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of any securities referred to in this press release in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. The rights offering will be made only by means of a prospectus meeting the requirements of the Securities Act of 1933, as amended.

About Addentax Group Corp. Corp.

Addentax Group Corp. Corp. is an integrated service provider specializing in garment manufacturing, logistics services, and property management and subleasing. For more information about the Company, please visit the website: https://www.addentax.com/.

Caution Concerning Forward Looking Statements

All statements other than statements of historical fact in this announcement are forward-looking statements in nature within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions are intended to identify such forward-looking statements. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to consider risk factors, including those described in the Company's filings with the SEC, that may affect the Company's future results. All forward-looking statements attributable to the Company and its subsidiaries or persons acting on their behalf are expressly qualified in their entirety by these risk factors. The forward-looking events discussed in this press release and other statements made from time to time by us or our representatives, may not occur, and actual events and results may differ materially and are subject to risks, uncertainties, and assumptions about us. These forward-looking statements are based on information currently available to Addentax and its current plans or expectations and are subject to a number of known and unknown uncertainties, risks and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These and other important factors are described in detail in the "Risk Factors" section of Addentax's Annual Report on Form 10-K for the year ended March 31, 2023. Although we believe the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. We are not obligated to publicly update or revise any forward-looking statement, whether as a result of uncertainties and assumptions, the forward-looking events discussed in this press release and other statements made from time to time by us or our representatives might not occur. 

Company Contact:

Public Relations Contact:
Addentax Group Corp. Corp.
Phone: + (86) 755 86961 405
xinyee.lee@zgyingxi.com

Investor Relations Contact:

Sherry Zheng
Weitian Group LLC
1-718-213-7386
shunyu.zheng@weitian-ir.com

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SOURCE Addentax Group Corp.

FAQ

What did Addentax Group Corp. announce?

Addentax Group Corp. announced entering into Private Placement Agreements with two independent investors.

How many shares of common stock were sold in the Private Placement Agreements?

660,000 shares of common stock were sold at a price of $0.98 per share.

What is the total gross proceeds from the Private Placements?

The total gross proceeds from the Private Placements are $646,800.

What are the key components of the Agreements?

The Agreements include customary representations, warranties, covenants, conditions, and indemnities typical for agreements of this nature.

Is the press release an offer to sell securities?

No, the press release states that it does not constitute an offer to sell or solicit an offer to buy securities.

How will the rights offering be made?

The rights offering will be made only by means of a prospectus meeting the requirements of the Securities Act of 1933, as amended.