STOCKS | Moutai Keung Chung Buys Two Xiamen Ad Firms For RMB 146,300

Moutai Keung Chung (01716) said it has agreed to acquire all the equity interests in Xiamen Wannianfeng and Xiamen Huasha for a combined consideration of about RMB 146,300, according to ETNet. The consideration for Wannianfeng is RMB 143,300 and the price for Huasha is RMB 3,000. Both deals will be paid in cash from internal resources. The two companies focus on mobile advertising promotion and agency services. The seller is Xiamen Kuangshi Alliance Network Technology, an independent third party. The acquisition constitutes a discloseable transaction and does not require shareholder approval. The board said the deals could help expand the company's domestic mobile market presence and improve profitability and brand image.