Paranovus Entertainment Technology Ltd. (NASDAQ:PAVS) ("PAVS" or the "Company"), a consumer products and digital commerce solutions company, today announced that it has entered into a non-binding Letter of Intent ("LOI") regarding the proposed acquisition of Jabanero Inc., a holding company of a consumer brand focused on women's activewear and lifestyle products ("Jabanero").

Pursuant to the LOI, the Company is planning to acquire 100% of equity interest of Jabanero, and will pay an aggregate purchase price in the range of US$15 million and US$20 million, payable in cash at Closing (the "Purchase Price"). The final Purchase Price shall be determined following the completion of the financial, legal and business due diligence review of Jabanero and based on the parties' agreement regarding the valuation of the Jabanero, as reflected in the definitive transaction documents. PAVS will engage an independent and qualified advisor to provide a fairness analysis and report on the consideration to be paid to the shareholders of Jabanero in the proposed acquisition.