Cheer Holding, Inc. - GSMG STOCK NEWS

Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) has announced the termination of its merger agreement with Cheers Inc., originally established on July 11, 2022. The termination, effective as of April 6, 2023, was due to breaches by Cheers Inc. and its Merger Sub, resulting in an obligation to pay a termination fee of US$1,055,897.22 to Glory Star. Despite Cheers Inc.'s disagreements with the termination notice, they acknowledged Glory Star's right to terminate the agreement. As a result of this decision, the anticipated merger will not proceed.

Glory Star, focused on digital media and e-commerce in China, continues to develop its CHEERS ecosystem and aims to leverage various technologies to innovate in the entertainment and shopping sectors.

Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) held its Annual General Meeting on March 31, 2023, in Beijing. Key outcomes included the re-election of Mr. Ke Chen as a Class III director until 2025 and the ratification of Assentsure PAC as the independent accounting firm for the financial year ending December 31, 2022. Established in 2016, Glory Star focuses on integrating e-commerce, gaming, and digital media while developing a metaverse ecosystem leveraging advanced technologies like blockchain and 5G. The company remains committed to enhancing its CHEERS Video and e-Mall platforms, fostering innovation in the digital landscape.

On March 24, 2023, Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) announced that it received a notice from Nasdaq indicating non-compliance with the minimum bid price requirement of US$1.00 per share. This deficiency is based on the closing bid price from February 7 to March 21, 2023. The company has until September 18, 2023 to regain compliance by maintaining a bid price above US$1.00 for ten consecutive business days. While this notice does not lead to immediate delisting, the company intends to monitor share prices and explore options for compliance.

Glory Star New Media Group Holdings Limited (GSMG) reported its financial results for the year ended December 31, 2022, showcasing resilience despite significant challenges. Total revenues reached $157.1 million, a slight increase from $153 million in 2021, with advertising revenue contributing $152 million, marking a 14.4% increase. Net income stood at $26.4 million, down from $35.4 million in the previous year. The CHEERS App downloads surged to 377 million, and monthly active users rose to 51.5 million. Operating expenses increased due to higher costs in production and marketing, reflecting ongoing investments in content and brand recognition.

On October 27, 2022, Glory Star New Media Group Holdings (GSMG) announced that shareholders approved its merger agreement with Cheers Inc. and GSMG Ltd. Approximately 75.225% of outstanding shares voted, with 99.882% in favor of the merger. Following the merger, Glory Star will become a privately held entity, with its shares delisted from Nasdaq. The company aims to leverage its digital media and e-commerce platforms alongside advanced technologies to enhance user experience in the metaverse.

Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) announced a general meeting for shareholders on October 27, 2022, to vote on a merger agreement with Cheers Inc. The merger will result in Glory Star becoming a privately held company, ceasing to be listed on NASDAQ. Shareholders of record as of September 16, 2022, are eligible to vote. The company's board unanimously recommends approval of the merger, which may lead to the deregistration of shares after a specified period. Additional details are available in the SEC filings.

On September 9, 2022, Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) launched CheerReal, a new NFT application on iOS and Android. This initiative aligns with its Metaverse strategy, aimed at enriching digital culture and supporting blockchain technology.

CheerReal, supported by BSN-DDC, facilitates digital arts immersion, enhancing the ecosystem for artists and collectors. The app aims to accelerate the digitization of cultural assets and strengthen the CHEERS Metaverse economy, utilizing Glory Star's extensive digital content expertise.

Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) has regained compliance with Nasdaq's minimum bid price requirement of $1.00 per share. Nasdaq confirmed that from July 11 to July 22, 2022, the closing bid price of GSMG shares was above the required threshold for ten consecutive days. This achievement resolves previous compliance concerns under Listing Rule 5550(a)(2). Glory Star focuses on developing a digital media and e-commerce ecosystem in China, incorporating technologies such as blockchain, 5G, and AR to innovate in the metaverse space.

Glory Star New Media Group Holdings Limited (NASDAQ: GSMG) reported its unaudited financial results for the first half of 2022, revealing a revenue of US$69.9 million, a slight decline from US$71.9 million in the same period of 2021. The company saw significant growth in app downloads, with the CHEERS Video App reaching approximately 300.6 million downloads, up 39.4%, and the CHEERS e-Mall App increasing to 20.4 million, a 436.8% rise. However, net income fell to US$10.8 million, down from US$16.9 million in 2021. Operating expenses rose to US$59.4 million.