On December 31, Glance Holdings (00418.HK) announced that on December 31, 2024, Founder Electronics (as the buyer) entered into an equity transfer agreement with New Founder and Founder Information Industry (as the sellers), under which Founder Electronics agreed to acquire 100% equity of Tianjin Founder Shouji Digital Technology Co., Ltd. from New Founder and Founder Information Industry for a consideration of RMB 3.5798 million. Upon completion of the acquisition, the target company will become an indirect wholly-owned subsidiary of the company.
It is reported that the target company is a limited company registered in China and a mobile internet company focused on personalized font creation and consumption. The target company provides more personalized and interesting font library services to individual users by utilizing AI-assisted font generation technology.
The font library business operated by the group follows a business-to-business (B2B) sales model, while the target company operates a business-to-business-to-consumer (B2B2C) sales model through mobile internet or mobile marketplace platforms. Integrating the group's B2B font library business with the target company's B2B2C business can strengthen the integration of the group's font library business, benefiting the overall operation and development of the font library business.
The group believes that through this acquisition, the target company can help enhance the exposure of the group's high-quality font library in the target company's existing traffic platform, thereby increasing the usage rate of the group's font library, while the group can support the target company's exploration in AI technology applications in the font industry, themes, and other fields, collectively exploring the industrial model for the future intelligent era.
In response to the current low profitability of the target company, after the acquisition is completed, resources from the group and the target company can be integrated to improve operational efficiency, reduce costs, and ultimately enhance overall profitability.
