Guardforce AI Enters into Agreement to Expand Robotics as a Service (RaaS) to China's Greater Bay Area

Rhea-AI Summary

Guardforce AI Co., Limited (NASDAQ:GFAI, GFAIW) has signed a definitive agreement to acquire Shenzhen Keweien and Guangzhou Kewei for US$10 million, with 90% in restricted shares and 10% in cash. This acquisition, expected to close by end of April 2022, aims to bolster Guardforce AI's Robotics as a Service (RaaS) initiative in the rapidly growing Greater Bay Area of China. The company maintains its 2022 revenue forecast of US$55-60 million, signifying a 66% growth from 2021.

Positive

• Acquisition of Shenzhen Keweien and Guangzhou Kewei strengthens position in RaaS market.
• Expected growth of over 66% in 2022 revenue compared to 2021.

Negative

• None.

Signs Definitive Agreement to Acquire Shenzhen Keweien & Guangzhou Kewei

NEW YORK, NY / ACCESSWIRE / March 11, 2022 / Guardforce AI Co., Limited ("Guardforce AI" or "Company") (NASDAQ:GFAI)(NASDAQ:GFAIW), an integrated security solutions provider, announced today the signing of the definitive agreement of the previously proposed acquisition of Shenzhen Keweien Robot Service Co., Ltd ("SZ") and Guangzhou Kewei Robot Technology Co., Ltd ("GZ"). This acquisition is expected to serve an integral role in the growth of Guardforce AI's robotics as a service (RaaS) business initiative. This acquisition is expected to be closed by end of April 2022.

The acquisition purchase price of US$10,000,000 will be paid in a mix of cash (10%) and restricted ordinary shares of the Company (90%). Guardforce AI is presently listed on the U.S. Nasdaq Capital Market under the symbol "GFAI." For purposes of the definitive acquisition agreement, each share will be valued at US$4.20.

SZ and GZ are based in the Greater Bay Area, one of the fastest-growing economic regions in China with both Shenzhen and Guangzhou ranking among the top 10 largest Chinese cities and among the 30 largest cities globally. Focused on the hospitality, healthcare, property management, and government sectors, SZ and GZ derive revenues from AI robotic services which automate repetitive tasks, making them less labor intensive.

The Company has reiterated its 2022 full-year revenue expectations of US$55-60 million, representing growth of more than 66% as compared to 2021.

About Guardforce AI Co., Ltd.

Guardforce AI Co. Ltd. (NASDAQ:GFAI)(NASDAQ:GFAIW) is a global integrated security solutions provider that is focused on developing robotic solutions and information security services that complement its well-established secured logistics business. With more than 40 years of professional experience, Guardforce AI is a trusted brand name that protects and transports the high-value assets belonging to public and private sector organizations. Guardforce AI develops and provides innovative technologies and services that enhance safety and protection.

For more information, visit www.guardforceai.com

Forward Looking Statements

This press release contains statements that do not relate to historical facts but are "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can generally (although not always) be identified by their use of terms and phrases such as anticipate, appear, believe, continue, could, estimate, expect, indicate, intend, may, plan, possible, predict, project, pursue, will, would and other similar terms and phrases, as well as the use of the future tense. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on current beliefs, expectations and assumptions regarding the future of the business of the Company, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control, including the risks described in our registration statements and reports under the heading "Risk Factors" as filed with the SEC. Actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Forward-looking statements in this press release speak only as of the date hereof. Unless otherwise required by law, we undertake no obligation to publicly update or revise these forward-looking statements, whether because of new information, future events or otherwise.

Media Relations
Patrick Yu
Email: patrick.yu@fleishman.com
Phone: (+852) 2586-7877

Investor Relations
Shannon Devine
Email: GFAI@mzgroup.us
Phone: +1 203-741-8811

Guardforce AI Corporate Communications
Hu Yu
Email: yu.hu@guardforceai.com

SOURCE: Guardforce AI Co., Limited

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https://www.accesswire.com/692657/Guardforce-AI-Enters-into-Agreement-to-Expand-Robotics-as-a-Service-RaaS-to-Chinas-Greater-Bay-Area

FAQ

What is the significance of Guardforce AI's acquisition of Shenzhen Keweien and Guangzhou Kewei?

The acquisition enhances Guardforce AI's Robotics as a Service (RaaS) capabilities, targeting key sectors in a rapidly growing economic region.

What is the total purchase price for Guardforce AI's acquisition?

The acquisition is valued at US$10 million, with 90% payable in restricted shares and 10% in cash.

When is the acquisition by Guardforce AI expected to close?

The acquisition is anticipated to close by the end of April 2022.

What are the revenue expectations for Guardforce AI in 2022?

Guardforce AI projects full-year revenues of US$55-60 million, representing more than 66% growth from 2021.

How does the acquisition impact Guardforce AI's market position?

The acquisition positions Guardforce AI to expand its services in the AI robotics sector, enhancing market competitiveness.