BEIJING, July 19, 2018 /PRNewswire/ -- Link Motion
Inc., (NYSE: LKM), a leading smart car and smart ride company,
today welcomes China AI Capital Limited ("China AI") as a new
anchor shareholder and announces corresponding changes to its board
of directors.
China AI agreed to invest US$ 20
million into the Company by purchasing 70,175,439 Class B
common shares (Class B Shares), or the economic equivalent of
14,035,088 American depository shares (ADSs) each representing five
(5) Class A common shares for a purchase price of $0.285 per Class B Share, or the equivalent of
$1.425 per ADS. This represents a 25%
premium over the closing price per share on July 16, 2018 of the ADSs on the New York Stock
Exchange. At the time of the signing of the subscription agreement
for the purchase of the Class B Shares, China AI paid an initial
US$10 million of the total
US$20 million purchase price. The
remaining US$10 million of the
aggregate purchase price is scheduled to be paid, subject to
certain customary conditions, on or before September 19, 2018. Each Class B Share, like all
of the Company's other 50.35 million Class B common shares
outstanding prior to the transaction, has ten votes per share,
providing our new anchor shareholder with an effective control
position and a powerful incentive to contribute mightily to the
Company's success.
In conjunction with China AI's investment, the Company today
also announced changes to its board of directors. Effective today,
the Company has appointed Mr. Rui
Chi and Mr. Bruson Li as new members of its board of
directors. In addition, Mr. Ding Chun has tendered his resignation
as an independent director of the Company effective immediately due
to personal reasons.
Mr. Rui Chi is a highly respected
senior banker with more than 20 years of financial industry
experience. Mr. Chi has held important positions in many recognized
financial institutions in China
and abroad, including Morgan Stanley, Credit Suisse, Deutsche Bank,
and China Merchants Bank. Mr. Chi graduated from Nankai
University.
"I'm excited to be joining Link Motion's board at this exciting
inflection point," said Mr. Rui Chi.
"I believe the Company's future in the Smart Ride and Smart Car
space attractively positions them in some of the most important
growth sectors of the future. I look forward to helping to bring
the Company new partnerships and other opportunities in the
internet and automotive industries."
Mr. Bruson Li is currently the founder and CEO of HH Medical
Group which provides online medical consulting services. He has
more than 10 years' experience in
business operations and strategic investments. Mr. Li was formerly
an executive vice president of NQ Mobile Inc from 2010 to 2015. He
graduated from Beijing Jiaotong University with a B.S. in Computer
Engineering.
"I believe Link Motion's future is brighter than it has ever
been," said Mr. Li. "I am very pleased to have this opportunity to
rejoin this Company and I look forward to helping the Company
achieve its greatest value and achievements yet in the future."
"I would first like to thank Mr. Ding Chun for his contributions
to the Board of Directors and his service. At the same time, we
welcome China AI as an important and strategic new shareholder."
Said Dr. Vincent Wenyong Shi,
Chairman of Link Motion Inc. "We are excited about Mr. Chi and Mr.
Li joining our Board. We look forward to joining together with them
and others as we focus on executing our Smart Ride and Smart Car
business."
About Link Motion Inc.
Link Motion Inc. ("Link Motion" or the "Company" NYSE: LKM)
is a leading smart car and smart ride company. Link Motion's
portfolio of offerings includes enabling technology solutions and
secure connected carputers for the ecosystem of car businesses,
consumer ride sharing services, as well as legacy mobile security,
productivity and other related applications. For more
information on Link Motion, please
visit www.lkmotion.com.
Forward-Looking Statements
This news release contains "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, and as defined in the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements can be
identified by terminology such as "will," "expects," "anticipates,"
"future," "intends," "plans," "believes," "estimates" and similar
statements. All statements other than statements of historical fact
in this press release are forward-looking statements and involve
certain risks and uncertainties that could cause actual results to
differ materially from those in the forward-looking statements.
These forward-looking statements are based on management's current
expectations, assumptions, estimates and projections about the
Company and the industry in which the Company operates, but involve
a number of unknown risks and uncertainties. Further information
regarding these and other risks is included in the Company's
filings with the U.S. Securities and Exchange Commission. The
Company undertakes no obligation to update forward-looking
statements to reflect subsequent occurring events or circumstances,
or changes in its expectations, except as may be required by law.
Although the Company believes that the expectations expressed in
these forward-looking statements are reasonable, it cannot assure
you that such expectations will turn out to be correct, and actual
results may differ materially from the anticipated results. You are
urged to consider these factors carefully in evaluating the
forward-looking statements contained herein and are cautioned not
to place undue reliance on such forward-looking statements, which
are qualified in their entirety by these cautionary statements.
Media & Investor Relations
MZ North America
Chris
Tyson
Managing Director
949-491-8235
LKM@mzgroup.us
www.mzgroup.us
Luke Zimmerman
Senior Associate
949-259-4987
LKM@mzgroup.us
www.mzgroup.us
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SOURCE Link Motion Inc.