NVC intends to acquire 890 million Yida (Hongkong) optoelectronics to enter the North American market.

Yesterday (30) evening, NVC Holdings Limited (hereinafter referred to as "NVC" or "our company") issued a notice. In August 30, 2018, the company entered into a formal share purchase agreement with Jadestone and acquired 100% equity interest in Jadestone by the Jadestone (hereinafter referred to as "Target Corp"). The national currency is 890 million yuan, or it will be adjusted according to the formal stock purchase agreement.

After the transaction is completed, Target Corp will become a wholly owned Affiliated Companies of NVC. The main business of the target group (Target Corp and Affiliated Companies) involves the design, manufacture and sale of LED lighting products to the North American market. The target group's profit after tax in 2016 and 2017 was 64 million 400 thousand yuan and 78 million yuan respectively.

According to the announcement, Target Corp was wholly owned by de ho run Da before the sale of all Target Corp's rights to Jadestone at the cash price of RMB 190 million yuan in December 2016. In December 30, 2016, Jadestone completed the acquisition of Target Corp. In addition to the cash cost of 190 million yuan, Jadestone also agreed to repay Target Corp's debts of Dehao run and its Affiliated Companies account of RMB 377 million yuan. The total cost of Jadestone acquisition of target group is RMB 567 million yuan.

NVC said the takeover would give the company the opportunity to enter the North American market and increase its overseas sales. In addition, when establishing business in other overseas markets, the company can also learn from the successful experience and feasible business models of the target group.

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