October 4, 2022

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ZW Info Action Technologies Inc. Announces Prepared Acquisition of Henan Baodun, Increasing to Quick Movies Ecommerce

ZW Information Motion Systems Inc.

BEIJING, Sept. 15, 2022 (World NEWSWIRE) — ZW Facts Motion Systems, Inc. (Nasdaq: CNET) (“ZW Information” or the “Organization”), an built-in on the internet marketing, precision marketing, facts analytics, and other worth-added products and services enterprise, now announced that it has signed a letter of intent (“LOI”), and has formally proposed an acquisition offer to Henan Baodun Information and facts Technological innovation Co., Ltd (“Baodun”). Pursuant to the LOI, the give cost and terms will be negotiated and determined upon completion of thanks diligence, and the completion of the transaction is envisaged in the fourth quarter of 2022. On the completion of the acquisition, Baodun will come to be a wholly-owned subsidiary of the Enterprise, and will remain its independency in procedure to deliver 1-quit eCommerce marketing support alternatives and complete agency procedure companies for buyers.

Baodun is a total-provider web marketing and advertising firm integrating content marketing and advertising, promotion outcome optimization and brand name marketing. Baodun has the extensive agency qualification like ByteDance and Kuaishou, and can supply world wide web advertising and advertising and marketing methods on numerous customer facet products platforms, such as but not confined to toutiao.com, ixigua.com, TikTok and Kuaishou. Its major cooperating customers include SF Specific, Belle, and Tongrentang. Baodun created roughly $50 million in annualized income in 2021 and expects to carry on growing with a double digit’s expansion fee this calendar year.

The strategic acquisition of Baodun is supposed to boost ZW Data’s competitiveness within just the field and in particular in the limited movie platform current market. The addition of Baodun, alongside one another with the Company’s present knowledge in advertising, would substantially make improvements to the Company’s strengths in shorter movie advertising, merchandising and advertising business places, and increase the social eCommerce company to onboard a new expansion stage. The Company expects that this acquisition will travel a meaningful improve in shorter and lengthy-phrase ZW Data’s profits.

“We are excited to announce this prepared acquisition of Baodun. The short movie current market has expansive progress prospect, and presently, social media platforms this sort of as TikTok and Kuaishou have billions of end users domestically and internationally. The elite veterans of Baodun are mostly situated in Zhengzhou, Henan Province and Guangzhou, Guangdong Province. We are very thrilled that the founder of Baodun, Ms. Ning Lv, as one particular of the most professional ECommerce operators in China, will sign up for the Organization with the management staff upon the completion of the transaction. The addition of the new staff will accelerate the enhancement of our shorter online video merchandising capabilities and strengthen our dedication to setting up a top merchandising organization in China. We believe that that this acquisition will push the diversification of our business enterprise, variety a new revenue development place, and enrich the profitability to carry in the vicinity of and long-term values for shareholders,” commented Handong Cheng, Chairman and Main Executive Officer of ZW Details.

About ZW Facts Motion Systems Inc.

Proven in 2003 and headquartered in Beijing, China, ZW Information Action Systems Inc. (the “Company”) presents on the internet advertising and marketing, precision advertising, information analytics and other price-extra providers for organization purchasers. Leveraging its totally built-in companies system, proprietary database, and chopping-edge algorithms, ZW Knowledge Motion Technologies provides custom made, end result-pushed small business solutions for compact and medium-sized company customers in China. The Business also develops blockchain and synthetic intelligence enabled net/cellular programs and software package options for the basic community, business purchasers, and govt businesses. Much more information and facts about the Firm can be located at: http://www.zdat.com/.

Safe Harbor Assertion

This launch has particular “ahead-hunting statements” relating to the company of ZW Knowledge Action Technologies Inc., which can be discovered by the use of ahead-seeking terminology these types of as “thinks,” “expects,” “anticipates,” “estimates” or equivalent expressions. These ahead-looking statements contain recognized and unfamiliar dangers and uncertainties, such as business uncertainties relating to governing administration regulation of our marketplace, current market need, reliance on key personnel, upcoming money requirements, levels of competition in normal and other aspects that may possibly result in true outcomes to be materially distinctive from people explained herein as expected, considered, believed or envisioned. Particular of these pitfalls and uncertainties are or will be described in larger depth in our filings with the Securities and Trade Fee. These forward-searching statements are based on ZW Details Motion Technologies Inc.’s latest anticipations and beliefs relating to foreseeable future developments and their opportunity consequences on the Business. There can be no assurance that upcoming developments affecting ZW Knowledge Motion Technologies Inc. will be those anticipated by ZW Info Action Technologies Inc. These forward-looking statements entail a range of risks, uncertainties (some of which are further than the command of the Business) or other assumptions that may well bring about precise results or efficiency to be materially distinct from people expressed or implied by this sort of forward-hunting statements. ZW Facts Motion Technologies Inc. undertakes no obligation to publicly update or revise any ahead-searching statements, whether or not as a consequence of new details, potential activities or or else, except as could be required under relevant securities rules.

For far more information, remember to contact:

Sherry Zheng
Weitian Team LLC
E-mail: [email protected]
Cellphone: +1 718-213-7386