Chinese Lending Company NCF Group Enters Into Reverse Merger to List Shares in the US
NCF Wealth Holdings Ltd., a Chinese online lending platform, has announced that it merged with Hunter Maritime Acquisition Corp. (Nasdaq: HUNT), a blank check company, as a means for getting listed on the U.S. exchange.
According to the agreement, Hunter issued 200 million Class A common shares to the former shareholders of NCF Wealth at the closing of the merger. The former shareholders of NCF Wealth are also entitled to receive up to 50 million additional Class A common shares if the combined company meets certain financial performance targets for the 2019 and 2020 fiscal years.
Hunter plans on changing its name to NCF Wealth Holdings Ltd. in coming weeks. The company's common stock, units, and warrants will continue to trade under the symbols "HUNT", "HUNTU", and "HUNTW" until the company changes its name.
The existing management team of NCF Wealth will continue to operate the business post-transaction and will serve as executive management of the post-business combination public holding company. Jia Sheng will be the chief executive officer, Huanxiang Li will be the president, and Li Wei will be the chief financial officer.
"As a leading fintech company in China, NCF Wealth is excited to become a public company to further enhance its brand image and ability to serve its clients and counterparties, extending its already impressive track record," said Jia Sheng."NCF Wealth is now positioned to utilize the capital markets for strategic expansion of its businesses and acquisition of strategic resources."
Among other businesses, NCF operates an online consumer and business finance marketplace in China, focused on facilitating debt financing by directly connecting individual and commercial borrowers with lenders as an alternative to traditional lending sources. NCF generates revenue primarily from fees charged to borrowers for services in matching them with lenders through the facilities of its online platform.
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