Meiwu Technology Company Limited (NASDAQ:WNW) shares rallied 47.98% to $3.67 in after-hours trading on Wednesday after the company disclosed its subsidiary entered into an equity transfer agreement.
In a Wednesday Securities and Exchange Commission filing, Meiwu Technology said its wholly owned subsidiary, Xiamen Chunshang Health Technology, entered into an equity transfer agreement last week with Xiamen Hemeitong Commercial Co. and two of its shareholders to acquire 100% of Xiamen Hemeitong for RMB 23.520 (roughly $35 million) in cash as consideration upon closing.
Distribution Network Could Boost AI Platform
Xiamen Hemeitong distributes functional skincare products across southern and eastern China, with access to roughly 1,600 brand owners, retailers and beauty salons.
Meiwu said the network could accelerate adoption of its AI-powered MOBO App, which offers skincare diagnostics, e-commerce tools and data analytics for business clients, supporting the company’s broader ecosystem strategy.
Independent appraiser Beijing Yingyue Asset Appraisal Co. valued Xiamen Hemeitong’s equity at RMB 239.40 million (about $35.3 million) as of Jun. 30.
The deal remains subject to customary closing conditions.
Trading Metrics, Technical Analysis
Meiwu Technology has a market capitalization of approximately $65.30 million. Its stock has traded between a 52-week high of $1,352 and a 52-week low of $2.25.
WNW has a Relative Strength Index (RSI) of 40.24.
Over the past 12 months, shares of the small-cap online and mobile commerce company have fallen 98.56%. The company focuses on functional skincare, clean food products and cloud technical services.
WNW is currently positioned close to its annual low.
Price Action: The stock closed the regular session on Wednesday at $2.48, up 0.40%, according to Benzinga Pro data.
Benzinga’s Edge Stock Rankings indicate that WNW stock has a negative price trend across all time frames.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: FON’s Fasai / Shutterstock
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