W Corp receives in-principle approval for RTO of YuuZoo

SINGAPORE could soon see the first public listing of a social networking platform if YuuZoo Corporation's back-door listing on the Singapore Exchange (SGX) successfully goes through.

W Corporation, formerly Contel Corporation, said yesterday that it has received the approval-in-principle from SGX for its proposed $490.9 million acquisition of YuuZoo, a global e-commerce social networking platform. The deal is downsized from the $582.3 million agreed last year.

As part of the transaction, W Corp will first undertake a share consolidation to consolidate every 10 existing shares into one share. It will then issue 490.9 million new consolidated shares to YuuZoo shareholders as payment for the acquisition. The transaction hence constitutes a reverse takeover (RTO).