Glory Star New Media Group Holdings Ltd. (Nasdaq: GSMG) announced Tuesday that it and YMT Holding Ltd. signed a letter of intent acquire 100% of the equity of YMT through the issuance of restricted shares. After completing the transaction, YMT will become a wholly-owned subsidiary of the company.
Founded in 2010, YMT is an independent overseas shopping platform in China, covering more than 100 million registered users in 88 countries around the world, and an average of 800,000 global products online daily. YMT has set up logistics centers in 13 major cities including New York, San Francisco, Los Angeles, London, Paris, Frankfurt and Sydney.
"There is substantial synergy between Glory Star and YMT. Glory Star is strong in creating high-quality lifestyle content through its short video and interactive live-streaming platform. We can help YMT to efficiently acquire more high-quality customers and improve user stickiness. At the same time, YMT can provide CHEER e-Mall and other Glory Star subsidiaries with efficient global supply chain management and easy access to high-quality and globally sourced consumer goods. Together, we can build an industry-leading platform integrating live streaming with ecommerce. We can develop more key opinion leaders (KOLs) and accelerate our e-commerce growth," said Bing Zhang, the chairman of GSMG.
Glory Star New Media Group is a mobile entertainment operator in China. Glory Star's ability to integrate premium lifestyle content, including short videos, online variety shows, online dramas, live streaming, its Cheers lifestyle video series, e-Mall, and mobile app, along with innovative e-commerce offerings on its platform enables it to pursue its mission of enriching people's lives.
Shares of GSMG closed at $4.06, inching up 3 cents.