LMS Compliance acquires 75% stake in Anchor Technology Holdings

ACC HK is now a 75%-owned indirect subsidiary of the company.

LMS Compliance Ltd. has completed its acquisition of a 75% equity stake in Anchor Technology Holdings Co., Limited (ACC HK), a food certification and registration services provider.

According to a bourse filing, ACC HK is now a 75%-owned indirect subsidiary of the company.

Under the terms of the sale and purchase agreement, the first tranche of the purchase consideration has been satisfied by a cash payment of $1.08m (US$816,373) and the issuance of 9.46 million new ordinary shares of the company at $0.42 per share.

The aggregate value of the consideration shares amounts to $3.97m (US$3m) and represents approximately 8.3% of the company’s enlarged issued and paid-up share capital.

The first tranche, comprising the aforementioned cash payment and the consideration shares, accounts for approximately 84.5% of the total purchase consideration for the acquisition of ACC HK.