NEW
YORK, Oct. 9, 2023 /PRNewswire/ -- Color Star
Technology Co., Ltd. (NASDAQ: ADD) ("Color Star" or the "Company"),
an entertainment technology company with a global network that
focuses on the application of technology and artificial
intelligence in the entertainment industry, announces today that it
has entered into a non-binding letter of intent ("LOI") for the
planned acquisition of Yi Ti Technology Ltd. ("Yi Ti").
Founded in 2015, Yi Ti is a sports technology solutions provider
that organizes sporting events, builds sporting venues, provides
training, sports data, and other services, with the aim to
digitally empower the industry and to provide an efficient service
platform and solutions. Yi Ti has been involved in the Winter
Olympics, the World Cup, college sports, and other large
international sporting events, providing them with technology and
A.I. solutions.
Color Star CEO, Louis Luo,
explained, "The due diligence process is now underway as we're
working on planned acquisition of Yi Ti. After analyzing Yi Ti's
audit report, we noticed that their annual revenue is continuing to
grow. At this year's 2022 Asian Games taking place in Hangzhou, China, Yi Ti provided their A.I.
technology services and support, which shows they are continuing to
develop and grow. This planned acquisition will be a major step
forward for Color Star in the field of sports technology. Color
Star hopes to contribute and participate in many more international
sporting events in the future."
Mr. Qiu, president of Yi Ti, said, "Yi Ti's rapid development is
undoubtedly one of the fastest in the industry. According to market
research, the entire sports smart technology industry is expecting
a revenue of between 4 to 5 hundred billion RMB in 2025, and Yi Ti
believes that it will occupy a high market share as one of the
leading companies. Our planned acquisition by Color Star is a
mutually beneficial deal. The transaction will grant us more funds
to invest into R&D and operations, which will help increase our
market share. At the same time, we will also provide the latest
sports technology products to Color Star, allowing them additional
leverage when negotiating with sports companies in Europe and North
America. Currently, the two companies have entered into a
LOI.
Completion of the transaction is subject to due diligence
investigations by the relevant parties, the negotiation and
execution of a definitive agreement, satisfaction of the conditions
negotiated therein including the approval of the Company's Board of
Directors and the satisfaction of other customary closing
conditions. There can be no assurance that a definitive agreement
will be entered into or that the proposed transaction will be
consummated. Further, readers are cautioned that those portions of
the LOI that describe the proposed transaction are non-binding.
About Color Star Technology Co., Ltd.
Color Star Technology Co., Ltd. (Nasdaq: ADD) is an
entertainment and education company that provides online
entertainment performances and online music education services. Its
business operations are conducted through its wholly-owned
subsidiaries, Color Metaverse Pte. Ltd. and CACM Group NY, Inc. The
Company's online education is provided through its Color World
music and entertainment education platform. More information about
the Company can be found at www.colorstarinternational.com and
www.colorstar.investorroom.com.
About Yi Ti Technology Co., Ltd.
Founded in 2015, Yi Ti is a sports technology solutions provider
that organizes sporting events, builds sporting venues, provides
training, sports data, and other services, with the aim to
digitally empower the industry and to provide an efficient service
platform and solutions.
Forward-Looking Statement
This press release contains forward-looking statements as
defined by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements that are other than
statements of historical facts. When the Company uses words such as
"may," "will," "intend," "should," "believe," "expect,"
"anticipate," "project," "estimate" or similar expressions that do
not relate solely to historical matters, it is making
forward-looking statements. Forward-looking statements are not
guarantee of future performance and involve risks and uncertainties
that may cause the actual results to differ materially from the
Company's expectations discussed in the forward-looking statements.
These statements are subject to uncertainties and risks including,
but not limited to, the following: the Company's goals and
strategies; the Company's future business development, including
the development of the metaverse project; product and service
demand and acceptance; changes in technology; economic conditions;
the growth of the educational and training services market
internationally where ADD conducts its business; reputation and
brand; the impact of competition and pricing; government
regulations; the occurrence of any event, change or other
circumstances that could give rise to the terms of the LOI not
hereafter being memorialized in a definitive agreement; the outcome
of any legal proceedings that have been, or will be, instituted
against Color Star or other parties to the LOI following
announcement of the LOI and transactions contemplated therein; the
ability of Color Star to meet NASDAQ listing standards in
connection with the consummation of the transaction contemplated
therein; the inability to complete the transactions contemplated by
the LOI due to the failure to meet certain closing conditions;
risks that the proposed transaction disrupts current plans and
operations and the potential difficulties in employee retention as
a result of the announcement of the LOI and consummation of the
transaction described therein; costs related to the proposed
acquisition; changes in applicable laws or regulations; the ability
of the combined company to meet its financial and strategic goals,
due to, among other things, competition, the ability of the
combined company to grow and manage growth profitability, maintain
relationships with customers and retain its key employees; the
possibility that the combined company may be adversely affected by
other economic, business, and/or competitive factors; and other
risks and uncertainties described herein, as well as those risks
and uncertainties discussed from time to time in other reports and
other public filings with the Securities and Exchange Commission by
Color Star. For these reasons, among others, investors are
cautioned not to place undue reliance upon any forward-looking
statements in this press release. Additional factors are discussed
in the Company's filings with the U.S. Securities and Exchange
Commission, which are available for review at www.sec.gov. The
Company undertakes no obligation to publicly revise these
forward–looking statements to reflect events or circumstances that
arise after the date hereof unless required by applicable laws,
regulations or rules.
View original
content:https://www.prnewswire.com/news-releases/color-star-enters-into-letter-of-intent-to-acquire-yi-ti-technology-to-expand-into-the-sports-technology-segment-301950288.html
SOURCE Color Star Technology Co., Ltd.