Guardforce AI to Expand RaaS to China’s Greater Bay Area

Mar 11, 2022 By MarketDepth

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robots on tracks

Guardforce AI Co., Limited (NASDAQ: GFAI) announced its entry into an agreement to expand Robotics as a Service (RaaS) to China’s Greater Bay Area.

Stock Up Ovr 70%

Shares of Guardforce AI Co., Limited (NASDAQ: GFAI) gained over 76% in premarket trading following the announcement.

Purchase Price at $10M

The company signed a definitive agreement to acquire Shenzhen Keweien Robot Service Co., Ltd.,(“SZ”) and Guangzhou Kewei Robot Technology Co., Ltd., (“GZ”) at a purchase price of $10,000,000, to be paid in a mix of cash and restricted ordinary shares of the Company.

Revenue From AI

Focused on the hospitality, healthcare, property management, and government sectors, SZ and GZ derive revenues from AI robotic services which automate repetitive tasks, making them less labor intensive. With both companies based in the Greater Bay Area, Guardforce is looking to grow its foothold in one of the fastest-growing economic regions in China.

The acquisition is expected to be closed by the end of April 2022.