Guardforce AI Expands Robotics As A Service To China's Greater Bay Area

Guardforce AI Co Ltd (NASDAQ:GFAI) expands its Robotics as a Service (RaaS) offering with the proposed acquisition of Shenzhen Keweien Robot Service Co., Ltd (SZ) and Guangzhou Kewei Robot Technology Co., Ltd. (GZ).
SZ and GZ derive revenues from AI robotic services which automate repetitive tasks.
The purchase price to be based upon a valuation that is equal to 0.55-times five years projected average revenue for both the acquired companies, estimated to be $10 million and will be paid in a mix of cash (10%) and shares (90%) at a price per share $4.20.
The company expects to complete the acquisition by the end of February 2022.
Guardforce AI held cash and equivalents of $9.4 million as of June 30, 2021.
Price Action: GFAI shares are trading higher by 6.60% at $1.13 during the premarket session on Friday.