Highest Performances Holdings Inc. (NASDAQ: HPH) Secures a Share Purchase Agreement from GEM Global Yield LLC SCS (“GEM”) for an Investment of up to US$500 Million
April 16 2024 - 7:00AM
Highest Performances Holdings Inc. (NASDAQ: HPH) (“HPH”
or the “Company”), today announced that it has signed a share
purchase agreement (the “Agreement”) with GEM Global Yield LLC SCS
(“GEM”), a Luxembourg-based private alternative investment
group. Under the Agreement, HPH has the option to issue and sell up
to a number of ordinary shares (as represented by and delivered as
American depositary shares) with an aggregate value of
US$500,000,000 (the “Aggregate Limit”). Subject to the terms and
conditions of the Agreement, HPH may increase the Aggregate Limit
up to US$1,000,000,000 at a later date by delivering prior written
notice to GEM. The funds will be used to fuel the Company's AI
development and expansion efforts on a global scale.
During the three years from the date of signing
the Agreement (the “Investment Period”), HPH will control the
timing and maximum amount of the drawdown under this
facility and has no minimum drawdown obligation. HPH has the option
to issue shares to GEM at its own discretion within the Investment
Period. HPH has agreed to pay a commitment fee to GEM equal to
1.8% of the Aggregate Limit, in either cash, from the proceeds of
the drawdowns, or in ordinary shares. Simultaneously, the Company
and GEM entered into a selling agent agreement with Wilson-Davis
& Company which will act as investment banker and as selling
agent for GEM and will receive a fee of 0.2 % of the Aggregate
Limit.
HPH plans to utilize any proceeds from drawdowns
for investing in projects related to artificial intelligence,
robotics hardware and software, intellectual property related to
sports, mergers and acquisitions or strategic alliance that can add
value to the Company, and general corporate and working capital
needs of the Company.
About GEM
Global Emerging Markets ("GEM") is a $3.4
billion, alternative investment group with offices in Paris, New
York and Nassau, Bahamas. GEM manages a diverse set of investment
vehicles focused on emerging markets and has completed over 580
transactions in 70 countries. Each investment vehicle has a
different degree of operational control, risk-adjusted return, and
liquidity profile. The family of funds and investment vehicles
provide GEM and its partners with exposure to: Small-Mid Cap
Management Buyouts, Private Investments in Public Equities and
select venture investments.
For more information: http://www.gemny.com
About Highest Performances Holdings
Inc. (NASDAQ: HPH)
HPH was founded in 2010 with the aim of becoming
a top provider of smart home and enterprise services. Its mission
is to improve the quality of life for families worldwide, focusing
on two main driving forces: "technological intelligence" and
"capital investments." HPH has a global strategic perspective and
identifies high-quality enterprises with global potential for
investment and operations. Its areas of focus include asset
allocation, education and study tours, cultural tours, sports
events, healthcare and elderly care and family governance.
HPH currently holds controlling interests in two
leading financial service providers in China, namely Fanhua Inc., a
technology-driven platform, and Fanhua Puyi Fund Distribution Co.,
Ltd., an independent wealth management service provider.
Additionally, HPH has signed an agreement to acquire controlling
interests in Singapore-based White Lingjun Pte. Ltd.
Highest Performances Holdings Inc., formerly
known as Puyi Inc., was renamed on March 13, 2024 to reflect its
strategic transformation.
About Wilson-Davis &
Company
Wilson-Davis & Company Co., Inc is a wholly
owned subsidiary of AtlasClear Holdings (NYSE ATCH) a Salt Lake
City, UT and Dallas, TX based broker dealer. Wilson-Davis is a
member of FINRA and SIPC.
Forward-looking Statements This press
release contains forward-looking statements as defined by the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements include statements concerning plans, objectives, goals,
strategies, future events or performance, and underlying
assumptions and other statements that are other than statements of
historical facts. When HPH uses words such as “may”, “will”,
“intend”, “should”, “believe”, “expect”, “anticipate”, “project”,
“estimate” or similar expressions that do not relate solely to
historical matters, it is making forward-looking statements.
Forward-looking statements are not guarantees of future performance
and involve risks and uncertainties that may cause the actual
results to differ materially from HPH’s expectations discussed in
the forward-looking statements. These statements are subject to
uncertainties and risks including, but not limited to, the
following: HPH’s ability to obtain proceeds from the Agreement;
HPH’s goals and strategies; HPH’s future business development;
product and service demand and acceptance; changes in technology;
economic conditions; the growth of the third-party wealth
management industry in China; reputation and brand; the impact of
competition and pricing; government regulations; fluctuations in
general economic and business conditions in China and the
international markets HPH serves and assumptions underlying or
related to any of the foregoing and other risks contained in
reports filed by HPH with the Securities and Exchange Commission.
For these reasons, among others, investors are cautioned not to
place undue reliance upon any forward-looking statements in this
press release. Additional factors are discussed in HPH’s filings
with the U.S. Securities and Exchange Commission, which are
available for review at www.sec.gov. HPH undertakes no obligation
to publicly revise these forward-looking statements to reflect
events or circumstances that arise after the date hereof.
For more information, please contact:
Highest Performances Holdings Inc.
Tel: +86-20-28866499
Email: ir@puyiwm.com
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