TAOP Signs LOI to Acquire Majority Ownership of Fujian Taoping IoT Technology Limited
Taoping Inc. (NASDAQ: TAOP) announced a letter of intent to acquire at least 51% of Fujian Taoping IoT Technology Limited, with the purchase price to be paid in ordinary shares of TAOP. The acquisition aims to strengthen Taoping's position in new media and smart community services in East China. Established in 2017, Fujian Taoping serves over 2,000 customers and operates 8,899 smart screen locations in Fujian Province. This acquisition follows another recent acquisition of Zhenjiang Taoping and is expected to accelerate Taoping's digital service business and create shareholder value.
- Acquisition targets at least 51% ownership of Fujian Taoping, enhancing market presence.
- Fujian Taoping operates 8,899 smart screens, providing a strong foundation for growth.
- Strengthens position in East China’s new media and smart community service sectors.
- Purchase price undetermined until after due diligence, creating uncertainty.
- LOI will terminate if definitive agreements are not reached by December 31, 2022.
HONGKONG, Feb. 17, 2022 (GLOBE NEWSWIRE) -- Taoping Inc. (NASDAQ: TAOP, the “Company” or “TAOP”), a provider of blockchain technology and smart cloud services, today announced that it has entered into a letter of intent (the “LOI”) with the shareholders of Fujian Taoping IoT Technology Limited (“Fujian Taoping”) to acquire at least
Pursuant to the LOI, the purchase price, to be determined by the parties after the completion of due diligence of Fujian Taoping, will be paid in the form of ordinary shares of TAOP. The LOI will be automatically terminated if no definitive agreements are entered into among the parties before December 31, 2022.
Established in May 2017, Fujian Taoping has served over 2,000 customers so far. As of February 2022, Fujian Taoping's self-operated and investment areas cover seven major cities in Fujian Province, including Fuzhou, Quanzhou, Zhangzhou, Nanping, Putian, Sanming, and Longyan. Currently, Fujian Taoping’s network has a total of 8,899 smart screen locations, covering more than 700 high-end residential areas, commercial centers, and office buildings. It laid a good foundation for the subsequent expansion of the smart community service in the local area.
After the closing of the acquisition, Fujian Taoping is expected to become an important part of Taoping Digital Culture East China Operation Center. While continuing to grow the current business, Fujian Taoping plans to take advantage of its existing channels to expand the business of smart charging piles, smart stations, large-screen splicing displays, and build an integrated digital service ecosystem.
“Following the acquisition of Zhenjiang Taoping announced last month, the proposed acquisition is expected to further strengthen our position in the new media and smart community service business in East China market,” said Mr. Jianghuai Lin, Chairman and CEO of TAOP. “We believe the acquisition would accelerate our digital service business and create value for the communities and our shareholders.”
About Taoping Inc.
Taoping Inc. (TAOP) is a blockchain technology and smart cloud services provider. The Company is dedicated to the research and application of blockchain technology and digital assets, and continues to improve computing power and create value for the encrypted digital currency industry. Relying on its self-developed smart cloud platform, TAOP also provides solutions and cloud services to industries such as new media and artificial intelligence. To learn more, please visit http://www.taop.com/.
Safe Harbor Statement
This press release contains “forward-looking statements” that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, including statements regarding our future results of operations and financial position, strategy and plans, and our expectations for future operations, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. We have attempted to identify forward-looking statements by terminology including “anticipates,” “believes,” “can,” “continue,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “predicts,” “should,” or “will” or the negative of these terms or other comparable terminology. Our actual results may differ materially or perhaps significantly from those discussed herein, or implied by, these forward-looking statements.
Any forward-looking statements contained in this press release are only estimates or predictions of future events based on information currently available to our management and management’s current beliefs about the potential outcome of future events. Whether these future events will occur as management anticipates, whether we will achieve our business objectives, and whether our revenues, operating results, or financial condition will improve in future periods are subject to numerous risks. There are a significant number of factors that could cause actual results to differ materially from statements made in this press release, including: our potential inability to achieve or sustain profitability or reasonably predict our future results due to our limited operating history of providing blockchain technology and smart cloud services, the effects of the global Covid-19 pandemic, the emergence of additional competing technologies, changes in domestic and foreign laws, regulations and taxes, uncertainties related to China’s legal system and economic, political and social events in China, the volatility of the securities markets; and other risks including, but not limited to, those that we discussed or referred to in the Company’s disclosure documents filed with the U.S. Securities and Exchange Commission (the “SEC”) available on the SEC’s website at www.sec.gov, including the Company’s most recent Annual Report on Form 20-F as well as in our other reports filed or furnished from time to time with the SEC. You should read these factors and the other cautionary statements made in this press release. If one or more of these factors materialize, or if any underlying assumptions prove incorrect, our actual results, performance or achievements may vary materially from any future results, performance or achievements expressed or implied by these forward-looking statements. The forward-looking statements included in this press release are made as of the date of this press release and TAOP undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.
For further information, please contact:
Taoping Inc.
Chang Qiu
Email: chang_qiu@taoping.cn
http://www.taop.com/
or
Dragon Gate Investment Partners LLC
Tel: +1(646)-801-2803
Email: taop@dgipl.com
FAQ
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