One Horizon Group Announces Preliminary Agreement to Acquire Redspots Creative
MIAMI, March 28, 2019 (GLOBE NEWSWIRE) -- One Horizon Group, Inc. (OTCQB: OHGI) (the “Company”) today announced that it has entered into a preliminary, non-binding agreement to acquire a majority interest in Redspots Creative (Hong Kong) Company Limited in a stock transaction based on post-closing future earnings. One Horizon will also have an obligation to provide working capital loans to the Redspots subsidiary upon closing of the transaction.
Redspots is a multi-media production company that focuses on development, production, application, and marketing promotion. It provides services in three major categories: 2D and 3D video production, AR/VR interactive technologies and products, and an AR platform. Redspots provides its clients a one-stop, multi-media promotion solution, greatly increasing marketing effectiveness. Redspots’ clients include leading global Fortune 500 companies in the consumer products, restaurant, automotive, financial, hospitality/casinos, and other industries.
Within its platform, Redspots has developed a proprietary “virtual idol” system. Based on motion-capture and facial expression-capture technology, and real-time rendering, voice control and other systems for integration, the actor’s movements, expressions, and voice can be mapped to the virtual character in real time. Redspots is currently developing a plan to license and distribute virtual idol globally. A demonstration of the virtual idol system is available at: https://youtu.be/PitkW8DRsvk.
The preliminary agreement provides for a closing date of May 31, 2019. The transaction will be subject to customary closing conditions including completion of due diligence, entry into definitive agreements and standard representations and warranties. In addition, as a condition to closing, Redspots is required to enter into a specified software licensing agreement.
Mark White, Founder and CEO of One Horizon, commented, “We are excited to announce this planned acquisition, which we believe will prove transformational to the business and can be easily leveraged across our media and digital technology platform, including Love Media House, Browning Productions and 123Wish. Redspots is a pioneer in the area of augmented/virtual reality and developed the first virtual idol system in Hong Kong. Since then, Redspots’ virtual idol platform has been adopted by leading global companies and featured on television networks as well as at major international conferences. Redspots’ virtual idol system has been used to develop virtual avatars for numerous celebrities, including sports stars such as Stephon Marbury, whose avatar has been featured prominently at major sporting events such as the World E-Sports Games (WESG) E-sports Festival 2018 hosted by Alibaba. We believe this transaction will be accretive to earnings and our interests are closely aligned with Redspots on several levels including that the purchase price is based on Redspots achieving future earnings targets.”
Kevin Lee, CEO of Redspots, stated, “We are excited to join forces with One Horizon, which brings global relationships and extensive resources in the fields of digital and media technologies. Through this transaction, we look forward to aggressively expanding our global footprint in virtual and augmented reality, as well as further accelerating the growth of our virtual idol platform. We also look forward to leveraging our virtual idol technology across the platforms and tapping into One Horizon’s celebrity network, which will provide new revenue opportunities for our combined companies.”
About One Horizon Group, Inc.
One Horizon Group, Inc. is a media and digital technology acquisition and software company, which owns Love Media House, a full-service music production, artist representation and digital media business and Horizon Secure Messaging, an Asia-based secure messaging business. The Company holds a majority interest in 123Wish, a subscription-based, experience marketplace; a majority interest in Browning Productions & Entertainment, Inc., a full-service digital media and television production company; and has entered into an Agreement to acquire a majority interest in MAHAM LLC, an innovative, technology-driven yoga studio concept. For more information, see http://www.onehorizoninc.com/
Safe Harbor Statement
This news release may contain “forward-looking” statements. These forward-looking statements are only predictions and are subject to certain risks, uncertainties and assumptions that could cause actual results to differ from those in the forward looking-statements. Potential risks include such factors as the inability to enter into agreements with parties with whom we are in discussions, the uncertainty of consumer demand for the Company’s products, as well as additional risks and uncertainties that are identified and described in the Company’s SEC reports. Actual results may differ materially from the forward-looking statements in this press release. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company does not undertake, and it specifically disclaims, any obligation to update any forward-looking statements to reflect occurrences, developments, events or circumstances after the date of such statement.
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