Benzinga | Nov 27, 2020 08:33AM EST

AGBA Acquisition Reports Non-Binding Term Sheet for Potential Acquisition Of Convoy's Platform Business

AGBA Acquisition Limited (NASDAQ:AGBA, AGBAU, AGBAW, AGBAR))) ("AGBA"), a special purpose acquisition company, announced today that it entered into a non-binding term sheet (the "Term Sheet") for a business combination with certain businesses that are currently part of Convoy Global Holdings Limited ("Convoy" or the "Company"), a Hong Kong-listed diversified financial holding company on November 25, 2020. These business include Convoy's independent financial advisory business (the "IFA Business") and its platform businesses, which include B2B, FinTech, Retail and Healthcare platforms (the "Platform Business").

Under the contemplated transaction, AGBA will acquire from Convoy 100% of the Platform Business and take a 30% shareholding in the IFA Business. In exchange, Convoy or its affiliate will receive (i) 30,000,000 newly issued shares of the post-combined company, with a deemed price per share of $10.00 plus (ii) US$100 million in cash, for an aggregate consideration of approximately US$400 million (the "Transaction"). Upon closing of Transaction, AGBA plans to remain NASDAQ-listed and trade under a new ticker symbol.