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Swing Media Technology ventures into wagyu cattle business through purchase of Grace Health Group

HONG KONG-BASED Swing Media Technology Group Limited on Friday said it has entered into a non-binding agreement to buy Grace Health Group that is owned by Total Victor Global Limited.

The two parties shall mutually agree on the consideration for the sale shares after factoring in, among others, the valuation report to be issued by an independent valuer, Swing Media Technology said in a filing to the local bourse.

It said that the memorandum of understanding (MOU) shall be valid for a period of eight months from August 2016, unless terminated earlier or extended by mutual consent.

During the term of the MOU, Total Victor Global shall negotiate exclusively with Swing Media Technology in relation to the proposed acquisition.

Grace Health Group, incorporated in the British Virgin Islands, holds 90 per cent of the shareholding interest in Grace Health Australia Pty Ltd and 100 per cent of the shareholding interest in Grace Health International Limited.

Grace Health (Australia) is a company incorporated in Australia. Upon completion of a restructuring exercise, it will own a total area of about 200 square kilometres feeding some 7,000 top quality wagyu cattle in Queensland. The produce will be sold both domestically and exported globally.

Moving forward, the data storage supplier said that Grace Health (Australia) intends to target the market in the Greater China region.

Grace Health (Hong Kong), incorporated in Hong Kong, is involved in the marketing of wagyu in Asia.

"Shareholders and potential investors should exercise caution when trading in the shares, as there is no certainty that the potential acquisition will take place. In the event of any doubt as to the action they should take, shareholders and potential investors should consult their financial, tax, legal or other professional advisers," Swing Media Technology said.