Guardforce AI Co. Limited said it has now closed the previously announced "transformational" cash and share acquisition of Beijing Wanjia Security System Co. Ltd (BJWJ) from Shenzhen Yeantec Co Limited for around US$8.4 million
On May 24 this year, the firm told investors it had struck two definitive agreements to acquire eight companies in China. The second deal, namely to acquire an additional seven companies from Shenzhen Kewei Robot Technology Co. Limited (Kewei), is still expected to close in the third quarter of this year.
"The acquisition of a well-established integrated security solution provider in Beijing is truly transformative for Guardforce AI as it not only strengthens our foothold in Asia, but also expands our integrated security capabilities, Terence Yap, the chairman of Guardforce AI, told investors in a statement.
READ: Guardforce AI announces definitive agreements to acquire eight companies in China
"Importantly, this acquisition brings to Guardforce AI an established customer base among retail businesses in different industries. Our global expansion strategy not only includes expanding geographically, but also building a more diverse customer base," added Yap.
"We look forward to leveraging these newly acquired capabilities across our global platform and accelerating the commercial rollout of our integrated security initiatives. Additionally, we look forward to closing the acquisition of Kewei's seven robotics companies in the third quarter of 2022," he concluded.
BJWJ is an integrated alarm security solution provider with over 25 years experience and a well-established customer base among retail businesses. The acquisition was paid for in a combination of 10% cash and 90% restricted company shares at the previously agreed price of US$2 per share.
Guardforce AI is a global integrated security solutions provider focused on developing robotic solutions and information security services that complement its well-established secured logistics business.
With more than 40 years' experience, Guardforce AI is a trusted brand name that protects and transports high-value assets belonging to public and private sector organizations.
Contact the author at giles@proactiveinvestors.com