Yong Tai Berhad (KLSE:YONGTAI) entered into an agreement to acquire 70% stake in Huobi Labuan Limited from Tan Yen Yen for $0.21 million on June 8, 2021. The consideration will be paid in cash. Post acquisition of Huobi Labuan, Tan Yen will hold 30% of the stake. Tan Yen grants Yong Tai the call option to purchase the option shares equivalent to all the balance 30% shares of the total issued and paid-up share capital of the Huobi Labuan at an exercise price of $90,000 within 12 months from the completion the agreement. The Purchase Consideration shall be satisfied in cash and funded through internally generated funds of Yong Tai. The transaction is subject to Labuan Financial Services Authority approval within 90 days from the date of the agreement, Satisfactory outcome on the legal and financial due diligence, approval of the board of directors and shareholder of the Huobi Labuan and approval of the board of directors. The proposed acquisition is expected to be completed by third quarter of 2021.
Barring any unforeseen circumstances, the proposed acquisition is expected to contribute positively to Yong Tai 's revenue in the future, it will not have any material effect on the share capital and substantial shareholders' of Yong Tai as no new Yong Tai shares will be issued pursuant to the agreement. it is not expected to have any material effect on the net assets, net assets per share and gearing of the Group for the financial year ending 30 June 2021. will not have any material effect on the earnings of Yong Tai for the financial year ending 30 June 2021and it is expected to be earnings accretive and will contribute positively to the future earnings of Yong Tai. The Board of Directors of YTB agreed with the Vendor for the extension to complete the Share Acquisition Agreement on or before 31 December 2022 on June 28, 2022.

Yong Tai Berhad (KLSE:YONGTAI) cancelled the acquisition of 70% stake in Huobi Labuan Limited from Tan Yen Yen on January 20, 2023.