Incredible Holdings announces possible reverse takeover by Hong Kong AI company
Cambridge Artificial Intelligence and Incredible Holdings have entered a non-binding MOU to explore the transaction
[SINGAPORE] Electronics and consumer goods company Incredible Holdings could be the target of a reverse takeover by an artificial intelligence (AI) company from Hong Kong.
In a bourse filing on Tuesday (Dec 30), Incredible said that it had entered into a non-binding memorandum of understanding with Cambridge Artificial Intelligence Company Limited (Cambridge).
The MOU involves “preliminary and exploratory” talks on a potential strategic transaction, which may involve a reverse takeover.
A reverse takeover allows a private company to go public by taking control of a publicly-traded company, thereby becoming publicly-listed more quickly than through an initial public offering.
Under the MOU, the parties will explore the feasibility of a reverse takeover, review financial information and projections and discuss – non-committally – whether Cambridge could provide financial support to Incredible.
The announcement said that Cambridge, incorporated in Hong Kong, describes itself as “engaged in the development and operation of technology-enabled platforms” with activities in AI application, digital finance and payments, data-driven services and agricultural and wellness solutions and products.
Exploratory discussions
Checks by The Business Times turned up a handful of similarly-named companies, but none based in Hong Kong.
Incredible stressed that it continues to review strategic alternatives to reconfigure its business and enhance shareholder value, and that the discussions are exploratory, with no decision being made at this stage.
The announcement follows a similar one in March, when Incredible signed a similar non-binding agreement for a possible reverse takeover with diversified Malaysian group Sheng Tai International.
SEE ALSO
Incredible’s recent history has been volatile.
Joint investments it had made with the now-delisted Ntegrator Holdings, formerly known as Watches.com, were found to be prejudicial to the interests of the companies and their respective minority shareholders.
Singapore Exchange Regulation made these findings public in November 2023, following an investigation by Provenance Capital.
Shares of Incredible have been suspended from trading since Sep 13, 2022 and remain so.
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Copyright SPH Media. All rights reserved.
