SUZHOU, China, July 12, 2017 /PRNewswire/ -- China Commercial
Credit, Inc. (NasdaqCM: CCCR) (the "Company"), a microfinance
company providing financial services to small-to-medium enterprises
("SMEs"), farmers and individuals in Jiangsu Province, is pleased to announce that
it has entered into a non-binding Letter of Intent ("LOI") with the
parent company of Sorghum Investment Holdings Limited ("Sorghum"),
an enterprise in the smart finance industry specializing in
providing efficient and optimized financial solutions, online
investment and match-for-loan services to individuals and small
business owners in China.
Pursuant to the terms of the LOI, CCCR will acquire 100% of the
outstanding shares of Sorghum. As the transaction proceeds, the
Company will publicly disclose required information either through
press releases or SEC filings, as appropriate.
Mr. Long Yi, the Chief Financial
Officer and Director of CCCR stated: "Sorghum's outstanding
performance, strong credibility and good reputation make it a
leader in the smart finance industry. We believe this acquisition
will expand our business into the smart finance industry and, as a
result, can increase our shareholders' value. We are also
very excited about the business opportunities we could seek
together with Sorghum in the financial services industry."
Ms. Amy Huang, the Chief
Executive Officer and Chairwoman of Sorghum commented: "The
combination of the two companies are meaningful synergies, as both
of our companies agreed to implement a business strategy in
conformity with China's Belt and
Road ("B&R") national strategy. We hope to complement each
other with our own accumulation in the industry and we take smart
technology as the core to provide efficient and optimized financial
solutions for individuals and small business owners. This
contemplated investment continues our focus to diversify strong
industrial logic as well as build value for our shareholders by
investing in this exciting field. We look forward to
leveraging our expertise in the smart finance industry to benefit
CCCR's reputation as a NASDAQ-listed company."
Completion of the transaction is subject to due diligence
investigations by the relevant parties, the negotiation and
execution of a definitive share exchange agreement, satisfaction of
the conditions negotiated therein including the approval of the
Company's Board of Directors and shareholders, approval by NASDAQ
of the post-transaction entity's new listing application, and the
satisfaction of other customary closing conditions. There can be no
assurance that a definitive agreement will be entered into or that
the proposed transaction will be consummated. Further,
readers are cautioned that those portions of the LOI that describe
the proposed transaction, including the consideration to be issued
therein, are non-binding.
About China Commercial Credit
China Commercial Credit, founded in 2008, provides business
loans and loan guarantee services to small-to-medium enterprises
("SMEs"), farmers and individuals in China's Jiangsu
Province. Due to recent legislation and banking reform in
China, these SMEs, farmers and
individuals -- which historically had been excluded from borrowing
funds from State-owned and commercial banks -- are now able to
borrow money at competitive rates from microfinance lenders. For
more information, please visit
http://www.chinacommercialcredit.com.
About Sorghum Investment Holdings Limited
Sorghum Investment Holdings Limited is a leading
enterprise in China's smart
finance industry. The company is headquartered in Shanghai with operating subsidiaries in
Beijing, Nanjing and Suzhou in China, and Boston,
Massachusetts, in the U.S. Adhering to the corporate vision
of "making finance accessible for everyone," Sorghum Investment
Holdings Limited is committed to building an open mobile smart
financial ecosystem based on the world's leading mobile internet
technology, cloud computing, and big data processing capability.
Sorghum provides online investment and match-for-loan services for
individuals and small businesses, conforming to the high-quality
assets as the core of the Belt and Road national strategy.
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 CCCR'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: the occurrence of any event, change or other
circumstances that could give rise to the terms of the LOI not
hereafter being memorialized in a definitive agreement; the outcome
of any legal proceedings that have been, or will be, instituted
against CCCR or other parties to the LOI following announcement of
the LOI and transactions contemplated therein; the ability of CCCR
to meet NASDAQ listing standards following the transaction and in
connection with the consummation thereof; the inability to complete
the transactions contemplated by the LOI due to the failure to
obtain approval of the stockholders of CCCR or other closing
conditions to; risks that the proposed transaction disrupts current
plans and operations and the potential difficulties in employee
retention as a result of the announcement of the LOI and
consummation of the transaction described therein; costs related to
the proposed acquisition; changes in applicable laws or
regulations; the ability of the combined company to meet its
financial and strategic goals, due to, among other things,
competition, the ability of the combined company to grow and manage
growth profitability, maintain relationships with customers and
retain its key employees; the possibility that the combined company
may be adversely affected by other economic, business, and/or
competitive factors; and other risks and uncertainties described
herein, as well as those risks and uncertainties discussed from
time to time in other reports and other public filings with the
Securities and Exchange Commission (the "SEC") by CCCR.
Additional information concerning these and other factors that
may impact our expectations and projections can be found in our
periodic filings with the SEC, including our Annual Report on Form
10-K for the fiscal year ended December 31,
2016. CCCR's SEC filings are available publicly on the SEC's
website at www.sec.gov. CCCR disclaims any obligation to update the
forward-looking statements, whether as a result of new information,
future events or otherwise.
Non-Solicitation
This press release is not a proxy statement or solicitation of a
proxy, consent or authorization with respect to any securities or
in respect of the proposed transaction and shall not constitute an
offer to sell or a solicitation of an offer to buy the securities
of CCCR or Sorghum Investment Holdings Limited, nor shall there be
any sale of any such securities in any state or jurisdiction in
which such offer, solicitation, or sale would be unlawful prior to
registration or qualification under the securities laws of such
state or jurisdiction. No offer of securities shall be made except
by means of a prospectus meeting the requirements of Section 10 of
the Securities Act of 1933, as amended.
Additional Information about the Transaction and Where to
Find It
In connection with the proposed transaction, CCCR will file a
preliminary proxy statement with the SEC and will mail a definitive
proxy statement and other relevant documents to its stockholders.
Investors and security holders of CCCR are advised to read, when
available, the preliminary proxy statement, and amendments thereto,
and the definitive proxy statement in connection with CCCR's
solicitation of proxies for its stockholders' meeting to be held to
approve the transaction because the proxy statement will contain
important information about the transaction and the parties to the
transaction. The definitive proxy statement will be mailed to
stockholders of CCCR as of a record date to be established for
voting on the transaction. Stockholders will also be able to obtain
copies of the proxy statement, without charge, once available, at
the SEC's website at www.sec.gov or by directing a request to: No.1
Zhongying Commercial Plaza, Zhong Ying Road, Wujiang, Suzhou,
Jiangsu Province People's Republic of China e-mail:
13584802352@139.com
For more information, please contact:
Mr. Long Yi, Chief Financial
Officer and Director
China Commercial Credit, Inc.
Tel: +86 13584802352
Email: 13584802352@139.com
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SOURCE China Commercial Credit Inc.