WENZHOU, China, July 19,
2024 /PRNewswire/ -- ZK International Group Co.,
Ltd. (Nasdaq: ZKIN) ("ZKIN", "ZK International" or the
"Company"), a leading manufacturer and supplier of patented
high-performance stainless steel and carbon steel pipe products, is
pleased to announce that on July 12,
2024, the Board of Directors approved and ratified an
investment of $2 million in
Recruiter.com Group, Inc. (Nasdaq: RCRT) ("Recruiter.com") through
the purchase of 2,000,000 shares of Common Stock at a purchase
price of $1.00 per share. This
investment includes a six-month option to purchase an additional
2,000,000 shares at $1.00 per share
pursuant to certain Stock Purchase Agreements dated July 12, 2024 (the "SPA") by and between the
Company and Recruiter.com (the "2024 Exempt Offering").
On July 12, 2024, we entered into
an SPA with Recruiter.com, which is a Nasdaq-listed company. As a
result, the shares to be issued in the 2024 Exempt Offering are
exempt from the registration requirements of the Securities Act,
pursuant to Regulation S promulgated under the Securities Act. In
addition, on July 12, 2024, we
entered into a Registration Rights Agreement (the "RRA") with
Recruiter.com. The Company shall prepare and, as soon as
practicable but in no event later than 150 days after the Closing
Date (as defined in the SPA), file with the Securities and Exchange
Commission (the "Commission") a registration statement on Form S-3
covering the resale of all of the Registrable Securities (as
defined in the RRA). The registration statement shall include all
of the Registrable Securities as of the date such registration
statement is initially filed with the Commission. If Form S-3 is
unavailable for such registration, the Company shall use such other
form as required.
The SPAs contain customary representations and warranties of
Recruiter.com and the Purchasers, indemnification obligations of
the Purchasers, and other obligations and rights of the
parties.
The SPA between the Company and Recruiter.com also includes a
six-month option to purchase an additional 2,000,000 shares of
common stock at a purchase price of $1.00 per share.
Furthermore, ZK International is pleased to announce its future
intention to issue a share dividend to its shareholders from its
investment in Recruiter.com. This planned distribution aims to
enhance shareholder value and reward the Company's shareholders,
however any such plan is subject to
be approved by the Company's board of directors.
Mr. Jiancong Huang, Chairman of
ZK International, commented, "We are committed to doing everything
we can to continue to increase shareholder value. This investment
in Recruiter.com aligns with our strategic goals and demonstrates
our dedication to leveraging growth opportunities. Our planned
distribution further underscores our commitment to rewarding our
shareholders."
About ZK International Group Co., Ltd.
ZK International Group Co., Ltd. is a China-based
engineering company building and investing in innovative
technologies for the modern world. With a focus on designing and
implementing next-generation solutions through industrial,
environmental and software engineering, ZKIN owns 46 patents,
46 trademarks, 5 Software Copyrights, 2 National Innovation Fund
Awards, and 41 National and Industry Standard Awards.
ZKIN's core business is to engineer and manufacture patented
high-performance stainless steel and carbon steel pipe products
that effectively deliver high quality, highly sustainable and
environmentally sound drinkable water to the Chinese, Asia and European markets. ZK
International is Quality Management System Certified (ISO9001),
Environmental Management System Certified (ISO1401), and a National
Industrial Stainless Steel Production Licensee. It has
supplied stainless steel pipelines for over 2,000 projects, which
include the Beijing National Airport, the "Water Cube" and "Bird's
Nest", which were venues for the 2008 Beijing Olympics. ZK
International is preparing to capitalize on the $850 Billion
commitment made by the Chinese Government to improve the quality of
water, which has been stated to be 70% unfit for human contact.
For more information please
visit www.ZKInternationalGroup.com. Additionally,
please follow the Company
on Twitter, Facebook, YouTube,
and Weibo. For further information on the Company's SEC
filings please visit www.sec.gov.
Safe Harbor Statement
This news release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended,
and as defined in the U.S. Private Securities Litigation Reform Act
of 1995. Without limiting the generality of the foregoing, words
such as "may," "will," "expect," "believe," "anticipate," "intend,"
"could," "estimate" or "continue" or the negative or other
variations thereof or comparable terminology are intended to
identify forward-looking statements. In addition, any statements
that refer to expectations, projections or other characterizations
of future events or circumstances are forward-looking statements.
These forward-looking statements are not guarantees of future
performance and are subject to certain risks, uncertainties and
assumptions that are difficult to predict and many of which are
beyond the control of ZK International. Actual results may
differ from those projected in the forward-looking statements due
to risks and uncertainties, as well as other risk factors that are
included in the Company's filings with the U.S. Securities and
Exchange Commission. Although ZK International believes that
the assumptions underlying the forward-looking statements are
reasonable, any of the assumptions could prove inaccurate and,
therefore, there can be no assurance that the results contemplated
in forward-looking statements will be realized. In light of
the significant uncertainties inherent in the forward-looking
information included herein, the inclusion of such information
should not be regarded as a representation by ZK International or
any other person that their objectives or plans will be achieved.
ZK International does not undertake any obligation to revise the
forward-looking statements contained herein to reflect events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events.
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SOURCE ZK International Group Co., Ltd.