Glorious Creation Limited Announces Execution of Share Purchase Agreement to Sell its Hong Kong Subsidiary, Glorious IT Creation Ltd.
Suite 405 – 1328 West Pender Street Vancouver, BC V6E 4T1
NEWS RELEASE
Glorious Creation Limited Announces Execution of Share Purchase Agreement to Sell its Hong Kong Subsidiary, Glorious IT Creation Ltd.
Vancouver, BC, Canada, August 1, 2019 – Glorious Creation Limited (CSE: GCIT) (the “Company”) announces that further to its news release of July 10, 2019, it has executed a share purchase agreement with the Company’s former CEO and director, Mr. Yuk Kan Kong (“Mr. Kong”), pursuant to which it will sell all of the shares of its Hong Kong subsidiary, which holds its Vietnamese and Chinese subsidiaries, to Mr. Kong at nominal cost, with all related liabilities remaining with the subsidiaries, so as to divest the Company of the ongoing financial losses (the “Transaction”).
As the Transaction will be a sale of substantially all of the Company’s assets as defined under the Business Corporations Act (British Columbia), the Company will be seeking shareholder approval to the Transaction at its upcoming Annual General & Special Meeting to be held on September 10, 2019 (the “Meeting”). The Transaction will require shareholder approval of at least 2/3 of the shares voted in person or by proxy at the Meeting. The Company is preparing a management information circular (the “Circular”) for shareholders in respect of the Meeting that will further explain the terms and conditions of the Transaction. The Company anticipates mailing the Circular on or about August 14, 2019. A copy of the Share Purchase Agreement and the Circular will be filed with Canadian securities regulators and will be available on the Company’s SEDAR profile at www.sedar.com.
The Transaction has been approved unanimously by the Company’s board of directors (the “Board”) which has determined that the Transaction is in the best interests of the Company and its shareholders for, amongst other things, the reasons set out in its news release dated July 10, 2019. The Board recommends that shareholders vote in favour of approving the Transaction at the Meeting.
It is anticipated that the Transaction will close as soon as possible after shareholder approval has been obtained at the Meeting. As such, the Board has started to evaluate new opportunities and projects to vend in to the Company as its new business, with a view to enhancing shareholder value. The Board will provide shareholders with updates on the status of these opportunities if and when material information becomes available.
For further information please contact:
Glorious Creation Limited
Andrea Yuan, CFO Tel: 778-889-4966 Email: [email protected]
The Canadian Securities Exchange has not reviewed, nor approved the contents of this news release.
Forward Looking Statements: All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward- looking statements involve numerous assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will prove inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-looking statements. Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated events.