NEW YORK, March 2, 2021 /PRNewswire/ — Code Chain New Continent Restricted (the “Firm” or “Code Chain”) (NASDAQ: CCNC), a number one eco-technology firm, introduced at present the execution of a Letter of Intent (“LOI“) to amass 61% of Xiaojin Langlang Know-how Co., Ltd. (“Xiaojin Langlang”). Based in March 2020, Xiaojin Langlang is a number one cryptocurrency mining heart in China. They interact in web info administration, large knowledge useful resource companies, server internet hosting, mechanical gear leasing, pc and communication gear operation, value-added telecommunications companies, software program and knowledge know-how, info System operation and upkeep, and socio-economic consulting, excluding funding and financing consulting companies.
Underneath the phrases of the LOI, the entire consideration for 61% of Xiaojin Langlang’s fairness curiosity is predicted to be RMB 36 million (roughly USD 5.6 million), topic to completion of a third-party valuation. Of this quantity, 50% shall be paid in money, and 50% shall be paid within the Firm’s shares of widespread inventory. Code Chain is required to pay $500,000 inside 7 enterprise days from the signing date of the LOI, which might be utilized to the ultimate buy value upon entry in to the fabric definitive buy settlement.
The Firm will award extra shares of widespread inventory yearly to Xiaojin Langlang based mostly on the post-investment monetary efficiency. The main points are as follows:
i. If Xiaojin Langlang achieves a web revenue of RMB 40 million (roughly USD 6.2 million) or extra in 2021 (the “2021 Web Revenue Objective“), the Firm shall problem 300,000 shares of widespread inventory to Xiaojin Langlang;
ii. If Xiaojin Langlang achieves a web revenue of RMB 60 million (roughly USD 9.3 million) or extra in 2022 (the “2022 Web Revenue Objective“), the Firm shall problem 300,000 shares of widespread inventory to Xiaojin Langlang;
iii. If Xiaojin Langlang achieves a web revenue of RMB 70 million (roughly USD 10.8 million) or extra in 2023 (the “2023 Web Revenue Objective“), the Firm shall problem 400,000 shares of widespread inventory to Xiaojin Langlang.
With RMB 50 million invested into it, the information heart covers 7,000 sq. meters and has 62,000 kWH capability. This capability permits the middle to accommodate greater than 20,000 mining machines. The middle is devoted in offering system internet hosting companies for cryptocurrency mining together with pc rooms, energy services, broadband networks, safety monitoring, warmth dissipation and cooling, day by day administration, and associated technical help.
Mr. David (Weidong) Feng, Co-CEO of the Firm, commented, “We’re excited to announce the proposed acquisition of Xiaojin Langlang. Cryptocurrency mining has gone by means of speedy evolution with scalability and infrastructure. With Xiaojin Langlang’s platform, the acquisition permits us to speed up our transfer into crypto mining. We imagine our mixed efforts will convey progress alternatives and create long-term worth for our respective.”
The transaction stays topic to completion of due diligence opinions, customary definitive documentation and remaining approval by the board of each Code Chain and Xiaojin Langlang Monetary Leasing. In consequence, there isn’t any assurance that the transaction might be consummated.
About Code Chain New Continent Restricted
Based in 2009, Code Chain New Continent Restricted engages within the analysis, improvement, and sale of strong waste recycling programs for the mining and industrial sectors, the wholesale and sale of gas supplies, harbor cargo dealing with companies and manufacturing and gross sales of coating supplies within the PRC. It gives end-users in these markets with a clear different to conventional waste disposal by considerably decreasing strong waste discharge into the atmosphere and enabling such customers to extract worth from useful metals and different industrial waste supplies. Upon completion of Sichuan Wuge Community Video games Co., Ltd. (“Wuge”), the Firm has additionally diversified its enterprise. Wuge was established in 2019 and continues to be on this early creating stage. Wuge produced digital tokens that mix the five-W parts (when, the place, who, why, what), geographic location through the Beidou satellite tv for pc system and identification info utilizing Code Chain know-how. The digital tokens are distinctive, tradable, and inheritable digital property and can’t be tampered. The digital tokens are based mostly on and saved within the Code Chain system and can be utilized to observe and doc all types of client behaviors that contain code-scanning.
Secure Harbor Statements
This press launch incorporates “forward-looking statements” inside the which means of the Non-public Securities Litigation Reform Act of 1995, together with sure plans, expectations, targets, and projections, that are topic to quite a few assumptions, dangers, and uncertainties. These forward-looking statements could embrace, however will not be restricted to, statements containing phrases akin to “could,” “might,” “would,” “plan,” “anticipate,” “imagine,” “estimate,” “predict,” “potential,” “expects,” “intends”, “future” and “steering” or comparable expressions. These forward-looking statements converse solely as of the date of this press launch and are topic to vary at any time. These forward-looking statements are based mostly upon administration’s present expectations and are topic to numerous dangers, uncertainties and contingencies, lots of that are past the Firm’s management that will trigger precise outcomes, ranges of exercise, efficiency or achievements to vary materially from any future outcomes, ranges of exercise, efficiency or achievements expressed or implied by such forward-looking statements. The Firm’s precise outcomes might differ materially from these contained within the forward-looking statements as a consequence of numerous components, together with these described underneath the heading “Threat Components” within the Firm’s public filings with the Securities and Alternate Fee, together with the Firm’s annual report on 10-Ok. The Firm undertakes no obligation to replace or revise any forward-looking statements, whether or not because of new info, future occasions or in any other case, besides as required underneath relevant regulation.
SOURCE Code Chain New Continent Restricted