BEIJING, March 12, 2020 /PRNewswire/ -- Huitao Technology
Co., Ltd. (Nasdaq CM: HHT) (the "Company", "we" or "HHT"), a
company engaged in production of advanced ready-mix concrete
materials and education service, announced today that its wholly
owned subsidiary, CACM Group NY, Inc. ("CACM"), and Baydolphin,
Inc. ("Baydolphin") established a joint venture company, BayTao
("JV"), a limited liability company specializing in the
after-school tutoring program for students from kindergarten to the
eighth grade in New York. The JV
will leverage Baydolphin's expertise in academic and art education
for the youth in conjunction with CACM's business management skills
and access to capital to create an innovative learning platform in
New York.
Under the terms of the joint venture
agreement for the JV, Baydolphin shall be responsible for
operating and managing the JV; CACM shall contribute necessary
capital to fund the JV's operation and set up platforms to
offer online courses. The net profits and net loss of the JV shall
be distributed 80% and 20% to CACM and Baydolphin,
respectively.
HHT's recent acquisition of Sunway Kids International Education
Group Ltd. ("Sunway Kids") marks a key step forward as the Company
gradually transitions its business to be an educational technology
service provider. Following the integration of the combined
businesses, the JV will be able to leverage the know-how and
experience of Sunway Kids to strengthen its competitive proposition
in the market. Sunway Kids' intelligent campus system is among the
most advanced Software-as-a-Service (SaaS) platform for school
management to enhance operational and financial efficiency. Its AI
based growth tracking analysis system enables the school to
personalize each student's education plan based on interests,
characteristics, and learning progress, which will be a valuable
asset to Baydolphin's traditional education model. Meanwhile,
Baydolphin has easy access to American teachers and tutors which
Sunway Kids will be able to tap to further expand its online
English education services in China. The combination of these two businesses
with complementary technology and industry strengths will be
more sustainable and generate valuable synergy for HHT.
"This is another milestone of our company to grow its presence
in the education service space. We are delighted to partner with
Baydolphin to establish a joint venture to focus on providing the
quality education support that students and parents are seeking. We
are excited to re-position the Company to be a high-tech education
service provider serving customers in both China and U.S.," said Mr. Yang (Sean) Liu, the Chief Executive Officer of
HHT.
Ms. Yicen Lin, General Manager of Baydolphin
commented, "Baydolphin is proud to join forces with CACM and
partner with a NASDAQ listed company. Amid rising after-school
educational program demands in Asian American communities in
New York, high-quality
after-school programs that can help students achieve academic
success and improve socialization skills are highly sought after.
With Baydolphins' teaching expertise and students resources,
coupled with CACM's capital capability and technology support, we
are confident that the JV will accelerate the development of
after-school programs and expand our market into more
communities."
About Huitao Technology Co., Ltd.
The Company is a holding company whose primary business
operations are conducted through its wholly-owned subsidiaries Xin
Ao Construction Materials, Inc., Beijing Ao Hang Construction
Materials Technology Co., Ltd., Sunway Kids International Education
Group Ltd., Brave Millennium Limited, Chengdu Hengshanghui
Intelligent Technology Co., Ltd. and our variable interest
entities, Beijing Xin Ao Concrete Group and Chengdu Hengshanghui
Education Consulting Co., Ltd. The Company engages in the
production of advanced construction materials for large scale
infrastructure, commercial and residential developments, primarily
focused on engineering, producing, servicing, delivering and
pumping a comprehensive range of advanced ready-mix concrete
materials for highly technical, large scale, and
environmentally-friendly construction projects. Through its newly
acquired subsidiaries, the Company also engages in the early
childhood education service business, providing a well-structured
system to day cares and preschools in China, including AI and robotic technologies,
intellectual campus administration software as a service system
(SAAS) and personalized online education courses. For more
information, please visit http://www.china-acm.com.
Forward-Looking Statements
Certain statements made herein are "forward-looking statements"
within the meaning of the "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements may be identified by the use of words such as
"anticipate", "believe", "expect", "estimate", "plan", "outlook",
and "project" and other similar expressions that predict or
indicate future events or trends or that are not statements of
historical matters. Such forward-looking statements include timing
of the proposed transaction; the business plans, objectives,
expectations and intentions of the parties once the transaction is
complete, and HHT's estimated and future results of operations,
business strategies, competitive position, industry environment and
potential growth opportunities. These forward-looking statements
reflect the current analysis of existing information and are
subject to various risks and uncertainties. As a result, caution
must be exercised in relying on forward-looking statements. Due to
known and unknown risks, our actual results may differ materially
from our expectations or projections. All forward-looking
statements attributable to the Company or persons acting on its
behalf are expressly qualified in their entirety by these factors.
Other than as required under the securities laws, the Company does
not assume a duty to update these forward-looking statements.
The following factors, among others, could cause actual results
to differ materially from those described in these forward-looking
statements: there is uncertainty about the spread of the COVID-19
virus and the impact it will have on HHT's operations, the demand
for the HHT's products and services, global supply chains and
economic activity in general. These and other risks and
uncertainties are detailed in the other public filings with the
Securities and Exchange Commission (the "SEC") by HHT.
Additional information concerning these and other factors that
may impact our expectations and projections will be found in our
periodic filings with the SEC, including our Annual Report on Form
20-F for the fiscal year ended June 30, 2019. HHT's SEC
filings are available publicly on the SEC's website
at www.sec.gov. HHT disclaims any obligation to update the
forward-looking statements, whether as a result of new information,
future events or otherwise.
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SOURCE Huitao Technology Co., Ltd.