Netdragon, Cherrypicks make strategic acquisition of Cherrypicks Alpha

NetDragon Websoft Inc. (Hong Kong Stock Code: 777) and cherrypicks have signed a stock purchase agreement to acquire a 100 percent stake in Cherrypicks Alpha, the company said.

The integration of Cherrypicks Alpha´s Augmented Reality (AR) technologies will boost the Company´s core Augmented Reality & Virtual Reality (VR/AR) technology portfolio for its online education and gaming businesses.

Cherrypicks Alpha´s smart location sensing platform (starbeacon) will also form the cornerstone for the rollout of SHOPPO, cherrypicks O2O Shopping Community Platform business, in the Asia-Pacific region.

According to the terms of the agreement, NetDragon and Cherrypicks will acquire Cherrypicks Alpha for a combination of USD6.0 million in cash and NetDragon shares, and incentive shares representing up to 24.6 percent of cherrypicks. In addition, NetDragon also committed to inject additional capital of up to USD12 million into cherrypicks to accelerate its business expansion.

Established in 1999, NetDragon Websoft builds Internet communities.

Established in 2000, Cherrypicks is a wholly owned subsidiary of NetDragon and technology startup headquartered in Hong Kong.

Cherrypicks Alpha provides Augmented Reality (AR) and Proximity Detection and Indoor Positioning (starbeacon).