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 June 9, 2017, Wecast Network, Inc. (the Company) entered into
a Securities Purchase Agreement (the Purchase Agreement) with
Redrock Capital Group Limited, a Cayman Islands company (Redrock)
and affiliate of the Companys chairman Bruno Wu, and Sun Seven
Stars Media Group Limited, a Hong Kong company (SSS), one of the
Companys largest shareholders, controlled by the Companys
chairman Bruno Wu, as guarantor, to which the Company agreed to
purchase and Redrock agreed to sell 51% of the outstanding
capital stock (the NexGen Common Shares) of NextGen Exchange
Group Inc., a Cayman Islands company (NexGen) for the sole
consideration of the Company adding NexGen to the Sun Video
Business acquired by the Company under that certain Securities
Purchase Agreement entered into with BT Capital Global Limited on
January 30, 2017 (the Sun Video SPA) and thereby including the
revenue and gross profit from NexGen in the calculation of the
SVG Performance Guarantees set forth in the Sun Video SPA, as
further described in the Companys Current Report on Form 8-K,
filed on February 1, 2017.
In addition, Redrock has entered into a separate agreement with
the Delaware Board Of Trade Holdings, Inc. (DBOT), under which
Redrock will transfer 5% of the total issued and outstanding
stock of NextGen to DBOT.
The foregoing description of the Purchase Agreement is not
purported to be complete and is qualified in its entirety by
reference to the complete text of such agreement which we will
file as exhibit to our next Quarterly Report on Form 10-Q.
| Item 8.01 | Other Events. |
On June 12, 2017, the Company issued a press release announcing
the entry into of the Purchase Agreement, among other items. A
copy of the press release is attached hereto as Exhibit 99.1 and
is incorporated herein by reference.
| Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits
| Exhibit No. | Description |
| 99.1 | Press Release, dated June 12, 2017. |
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.