SOS Announces Entry into a Joint Venture Agreement with Ronghe's Affiliate Aiming to Establish a Supercomputing Center in Qingdao

Rhea-AI Summary

SOS Limited (NYSE: SOS) has announced a joint venture with Qingdao Ronghe Finance Holding Group to create SOS Ronghe Digital Technology Co., Ltd., aimed at establishing a supercomputing center in Qingdao. The joint venture will have a registered capital of approximately $9,174,000, with SOS contributing 51% and Ronghe 49%. This center will focus on cloud computing, high-performance computing, and blockchain technologies. The CEO emphasizes this as a key infrastructure investment to drive growth in blockchain and big data.

Positive

• Joint venture with Ronghe Finance to establish a supercomputing center.
• SOS holds 51% ownership and management rights of the joint venture.
• Targeting advancements in cloud computing and blockchain technology.

Negative

• None.

QINGDAO, China, March 29, 2021 /PRNewswire/ -- SOS Limited (NYSE: SOS) (the "Company" or "SOS") announced today that its wholly-owned subsidiary SOS Information Technology Co., Ltd. has entered into a joint venture agreement with Qingdao Ronghe  Finance Holding Group Co., Ltd. ("Ronghe Finance") to form a new joint venture, SOS Ronghe Digital Technology Co., Ltd. ("SOS Ronghe"). SOS Ronghe Digital Technology Co., Ltd received its business license on March 27, 2021

Ronghe Finance is an affiliate of Qingdao West Coast New Area Ronghe Holding Group Co., Ltd, a large state-owned enterprise in Qingdao Shandong Province, China. Pursuant to the joint venture agreement, both parties are to contribute their resources to establish a supercomputing center in Qingdao. The registered capital of the joint venture will be approximately $9,174,000, of which the Company will contribute 51% and Ronghe will contribute 49%. SOS has the right to appoint two of the three directors, the CEO and the CFO of the joint venture.

The mission of the joint venture is to establish the first large-scale Supercomputing Center in Qingdao and become a leading data and supercomputing and R&D base in China. SOS-Ronghe is expected be primarily focused on the following fields: cloud computing, high performance computing, big data, blockchain-based asset and cryptocurrency activities.

Yandai Wang, CEO of SOS Limited commented, "we believe our joint venture with Ronghe is a key infrastructure investment focused on blockchain and big data, which will be a growth engine for both SOS and Ronghe."

About Ronghe Holding  

Qingdao West Coast New Area Ronghe Holding Group Co., Ltd.  is a state-owned holding company in Qingdao West Coast New Area, with an AAA corporate credit rating according to China Lianhe Credit Rating Co. Ltd. It plays a key role in the industrial investment, capital operation and equity management in promoting urban development, civil-military integration, science and technology development, venture capital, medical and health care, major transportation facilities, comprehensive land development, island protection and utilization, and functional zone construction and park operations in the Qingdao West Coast New Area. For more information, please visit: http://rongkong.net.cn/

About SOS Limited

SOS, is an emerging blockchain-based and big data-driven marketing and solution provider, with a nationwide membership base of approximately 20 million in China. Recently, SOS started to get ready to roll out its cryptocurrency mining business and plans to develop insurance and security management solutions for digital assets and cryptocurrencies. The core infrastructure of SOS' marketing data, technology and solutions to insurance and emergency rescue services is built on big date, blockchain-based technology, cloud computing, AI, satellite, and 5G network, etc. SOS Limited, through its operating subsidiary, SOS Information Technology Co., Ltd. is a high-technology company providing a wide range of services to its corporate and individual members, including marketing data, technology and solutions for emergency rescue services. SOS transforms digital technology into data-driven operations through the research and development of big data, cloud computing, Internet of Things, blockchain and artificial intelligence. We have created a SOS cloud emergency rescue service software as a service (SaaS) platform with three major product categories, including basic cloud (medical rescue card, car rescue card, financial rescue card, mutual assistance rescue card), cooperative cloud (information rescue center, intelligent big data, intelligent software and hardware), and information cloud (News Today, E-Commerce Today). This system provide marketing-related data, technology solutions, and technology-driven big data to clients such as insurance companies, financial institutions, medical institutions, healthcare providers, auto manufacturers, security providers, senior living assistance providers and other service providers in the emergency rescue services industry. For more information, please visit: http://www.sosyun.com/

Forward-Looking Statements

Certain statements in this press release may constitute "forward-looking statements" within the meaning of the federal securities laws, including, but not limited to, our expectations for future financial performance, business strategies or expectations for our business. These statements constitute projections, forecasts and forward-looking statements, and are not guarantees of performance. SOS cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Words such as "may," "can," "should," "will," "estimate," "plan," "project," "forecast," "intend," "expect," "anticipate," "believe," "seek," "target," "look" or similar expressions may identify forward-looking statements. There is no assurance that the supercomputing center will be established as planned, when it will start operation nor any of the planned activities will be implemented by the supercomputing center.Specifically, forward-looking statements may include statements relating to the Company's:

• ability to execute its business plan;
• changes in the market for SOS' products and services; and
• expansion plans and opportunities.

These forward-looking statements are based on information available as of the date of this press release and our management's current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but not are limited to, the risk factors described by SOS in its filings with the Securities and Exchange Commission ("SEC"). These risk factors and those identified elsewhere in this press release, among others, could cause actual results to differ materially from historical performance.

Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and you should not place undue reliance on these forward-looking statements in deciding whether to invest in our securities. We do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Additional information concerning these and other factors that may impact our expectations and projections can be found in our periodic filings with the SEC, including our Annual Report on Form 20-F for the fiscal year ended December 31, 2019. SOS's SEC filings are available publicly on the SEC's website at www.sec.gov. SOS disclaims any obligation to update the forward-looking statements, whether as a result of new information, future events or otherwise.

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SOURCE SOS Limited

FAQ

What is the purpose of the joint venture between SOS and Ronghe Finance?

The joint venture aims to establish a supercomputing center in Qingdao, focusing on cloud computing, high-performance computing, and blockchain technologies.

What is the registered capital of the SOS Ronghe Digital Technology joint venture?

The registered capital of the joint venture is approximately $9,174,000.

What percentage of the joint venture does SOS Limited own?

SOS Limited owns 51% of the joint venture.

When was the business license for SOS Ronghe Digital Technology issued?

The business license for SOS Ronghe Digital Technology was issued on March 27, 2021.

What strategic focus areas were mentioned for the joint venture?

The joint venture will primarily focus on cloud computing, high-performance computing, big data, and blockchain-based activities.