Benzinga | Sep 21, 2021 01:02PM EDT

Sino-Global Restructures Mining Server Agreement With Yanghuai; Plans Direct Mining

* Sino-Global Shipping America, Ltd. (NASDAQ:SINO) restructured its March 2, 2021 agreement with Hebei Yanghuai Technology Co., Ltd to buy 2,783 digital currency mining servers from Yanghuai.

* The deal was part of Sino-Global's expansion into the cryptocurrency market.

* The companies have restructured the original agreement to reduce the purchase price from RMB 30 million to RMB 6 million and allocate the purchased mining equipment.

* Revenue generated to date by the digital currency mining servers will be recognized by Sino-Global, as per the agreement.

* Yanghuai has agreed to transport digital currency mining servers representing half of the agreed 50,440 t/s in computing power to Sino-Global's office in Ningbo, China. The equipment will then be transported to the U.S.

* The parties will have no further financial or operating obligations to each other after completing the transfer.

* Sino-Global plans to switch to a direct mining business rather than contracting with third parties.

* Price Action: SINO shares are trading higher by 0.40% at $2.5 on the last check Tuesday.