WECAST NETWORK, INC. (NASDAQ:WCST) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01
| Entry into a Material Definitive Agreement |
On March 31, 2017, Wecast Network, Inc. (the Company) through its
PRC subsidiary Shanghai Blue World Investment Management
Consulting Limited (SVG WFOE), entered into an Equity Agreement
(the Agreement) with Shanghai Pulse Consulting Company Limited
(SPCC), a non-related PRC company.
to the Agreement, SVG WFOE sold, at cost, its entire 5.88% equity
stake in Guizhou Sun Seven Stars Technology Trading Platform
Limited (GZ), a PRC company formed in February 2017. The Company
will not recognize any profit or loss on this transaction.
The Company determined that owning an equity stake in GZ was no
longer prudent due to the financial uncertainty relating to the
multiple projects and subsidiaries that GZ is in the process of
starting. The Company will still have access to the RMB 80
million that was previously raised for GZ for the purpose of cost
reimbursement and other uses, as the Company and GZ intend to
continue to collaborate closely on a case by case basis.
The foregoing description of the Agreement is not purported to be
complete and is qualified in its entirety by reference to the
complete text of such agreement which will be filed as exhibit to
the Companys next Quarterly Report on Form 10-Q.
About WECAST NETWORK, INC. (NASDAQ:WCST)
Wecast Network, Inc., formerly YOU On Demand Holdings, Inc., is a content video on demand (VOD) service provider with operations in the People’s Republic of China. The Company, through its subsidiaries and variable interest entity, provides content and integrated value-added service solutions for the delivery of VOD and paid video programming to digital cable providers, Internet Protocol Television (IPTV) providers, over-the-top (OTT) streaming providers, mobile manufacturers and operators, as well as direct customers. The Company operates through video content and media segment. The Company is a multi-platform entertainment company delivering content, including Hollywood and China-produced movie titles, as well as children’s programming, to customers’ mobile and television screens across China through subscription video on demand (SVOD) and transactional video on demand (TVOD) services. WECAST NETWORK, INC. (NASDAQ:WCST) Recent Trading Information
WECAST NETWORK, INC. (NASDAQ:WCST) closed its last trading session up +0.10 at 2.70 with 357,824 shares trading hands.
