Fortune Technology intends to spend 50 million yuan to acquire 100% equity of Wuhan Yishu Storage

On November 11, Fortune Technology (Shenzhen) Co., Ltd. (hereinafter referred to as “Fortune Technology”), an enterprise on the New Third Board, issued an asset purchase announcement. According to the announcement, according to the company’s overall strategic development plan for the company’s deep cultivation of its main storage business, the company intends to purchase 100% of the equity of Wuhan Yishu Storage Technology Co., Ltd. (hereinafter referred to as “Wuhan Yishu Storage”) for RMB 50 million.

The announcement pointed out that according to the asset appraisal report issued by Shenzhen Zhonglian Assets Appraisal Co., Ltd., as of August 31, 2020, the appraised value of all shareholders’ equity of the target company was RMB 50,048,500, and the value added was RMB 50,056,300. The company intends to base its pricing on the assessed value of the target company on August 31, 2020. After preliminary negotiations between the two parties, it is estimated that 100% of the equity of the target company will be acquired at a total price of 50 million yuan. The purchase agreement will be signed after further negotiation between the two parties.

After the completion of this transaction, Wuhan Yishu Storage will become a wholly-owned subsidiary of Fortune Technology. Fortune Technology stated that this transaction is in line with the company’s overall strategic development plan, is conducive to the company’s future expansion of the scale and scope of operations, and will play a positive role in the company’s future financial status and operating results.

According to data, Fortune Technology was established in 2006, focusing on the storage field, forming a complete industrial storage and consumer storage product line. Wuhan Yishu Storage was established in 2016. It is understood that the company is one of the earliest companies in China that specializes in flash memory technology, focusing on Nand flash test application technology.