Transaction expected to fuel the
Company's growth in the U.S. food market
YORK, Feb. 9, 2023 /PRNewswire/ -- AnPac
Bio-Medical Science Co., Ltd. (the "Company") (NASDAQ: ANPC), a
company with operations in the United
States and China focused on
early cancer screening and detection and plans to enter into the
operation of a business-to-business e-commerce food platform
focused on the sale of Asian sourced food products, announced that
on February 7, 2023, the Company
through a subsidiary, Fresh2 Technology Inc., has entered into a
definitive stock purchase agreement (the "SPA") to acquire Fresh2
Ecommerce Inc ("Fresh2 Ecommerce"), a business-to-business e-commerce platform focused on
connecting Asian food suppliers and supermarkets in the U.S. Fresh2
Ecommerce provides an online direct selling platform for food
suppliers such as food companies, manufacturers, agents, importers,
and wholesalers to supermarkets. This acquisition is a critical
initiative for the Company's business strategy of entering into the
U.S. food market by initiating and developing a new e-commerce
Pursuant to the SPA, the Company agreed to purchase 100% of the
issued and outstanding equity interest of Fresh2 Ecommerce in
consideration of $2,100,000, payable
in the form of 5,440,420 newly issued Class A ordinary shares of
the Company (or 272,021 American Depositary Shares or "ADSs"). The
closing of the transaction is expected to take place in the first
quarter of 2023.
Mr. Haohan Xu, the Co-CEO of the
Company, commented, "We are thrilled to announce our entry into an
agreement to acquire Fresh2 Ecommerce, which we expect will advance
our development of a B2B e-commerce platform in the U.S. focused on
Asian food products. Previously, cross-border businesses from
Asia mainly sold products through
e-commerce platforms such as Amazon, Shopify, and TikTok. However,
market data indicates that 87% of retail sales take place offline
in the U.S. To address this opportunity, we plan to further develop
Fresh2 Ecommerce's food distribution platform to connect suppliers
of Asian food with supermarket operators in the U.S. and to provide
supermarket operators with direct access to suppliers' product
information. Fresh2 Ecommerce is also expected to help supermarket
operators to identify the source of products which will enable them
to select their food suppliers more efficiently. In addition, we
intend to develop smart warehousing and distribution centers that
will allow Fresh2 Ecommerce to provide one-stop fulfillment
services from food sources to last-mile delivery. We believe the
acquisition of Fresh2 Ecommerce is an integral part of our business
strategy to serve both restaurant owners and supermarket operators.
Looking forward, we are committed to building a B2B e-commerce
platform and food supply chain network for Asian food products in
the U.S., connecting food suppliers and commercial customers and
creating an internet ecosystem for the Asian food industry."
About Fresh2 Ecommerce Inc
Fresh2 Ecommerce Inc is a B2B e-commerce platform, which focuses
on connecting Asian food suppliers and supermarkets in the U.S.
Fresh2 Ecommerce Inc provides an online direct selling platform for
food suppliers such as food companies, manufacturers, agents,
importers, and wholesalers to supply food to supermarkets.
About AnPac Bio-Medical
Science Co., Ltd.
AnPac Bio-Medical Science Co., Ltd.is a biotechnology company
focused on early cancer screening and detection, with 155 issued
patents as of June 30, 2022. With two
certified clinical laboratories in China and one CLIA and CAP accredited clinical
laboratory in the United States,
AnPac Bio performs a suite of cancer screening and detection tests,
including CDA (Cancer Differentiation Analysis), bio-chemical,
immunological, and genomics tests. The Company intends to enter the
business-to-business e-commerce food business with the formation of
its wholly-owned subsidiary Fresh2 Technology Inc and the
acquisition of Fresh2 Ecommerce Inc.
For more information, please
For investor and media inquiries, please contact:
Ascent Investor Relations LLC
Phone: +1-917-609-0333 (U.S.)
Safe Harbor Statement
This announcement contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. These
forward-looking statements are made under the "safe harbor"
provisions of the Private Securities Litigation Reform Act of 1995
and are relating to the Company's future financial and operating
performance. The Company has attempted to identify forward-looking
statements by terminologies including "believes," "estimates,"
"anticipates," "expects," "plans," "projects," "intends,"
"potential," "target," "aim," "predict," "outlook," "seek," "goal"
"objective," "assume," "contemplate," "continue," "positioned,"
"forecast," "likely," "may," "could," "might," "will," "should,"
"approximately" or other words that convey uncertainty of future
events or outcomes to identify these forward-looking statements.
These statements are based on current expectations, assumptions and
uncertainties involving judgments about, among other things, future
economic, competitive and market conditions and future business
decisions, all of which are difficult or impossible to predict
accurately and many of which are beyond the Company's control.
These statements also involve known and unknown risks,
uncertainties and other factors that may cause the Company's actual
results to be materially different from those expressed or implied
by any forward-looking statement. Known and unknown risks,
uncertainties and other factors include, but are not limited to,
our ability to comply with Nasdaq Listing Rules including
maintaining our listing on the Nasdaq Capital Market, the
implementation of our business model and growth strategies; trends
and competition in the cancer screening and detection market; our
expectations regarding demand for and market acceptance of our
cancer screening and detection tests and our ability to expand our
customer base; our ability to obtain and maintain intellectual
property protections for our CDA technology and our continued
research and development to keep pace with technology developments;
our ability to obtain and maintain regulatory approvals from the
NMPA, the FDA and the relevant U.S. states and have our
laboratories certified or accredited by authorities including the
CLIA; our future business development, financial condition and
results of operations and our ability to obtain financing
cost-effectively; potential changes of government regulations;
general economic and business conditions in China and elsewhere; our ability to hire and
maintain key personnel; our relationship with our major business
partners and customers; and the duration of the coronavirus
outbreaks and their potential adverse impact on the economic
conditions and financial markets and our business and financial
performance, such as resulting from reduced commercial activities
due to quarantines and travel restrictions instituted by
China, the U.S. and many other
countries around the world to contain the spread of the virus. A
number of these risks along with additional discussion of
forward-looking statements, are set forth in the Company's Annual
Report on Form 20-F and other reports filed with the Securities and
Exchange Commission. In addition, there is uncertainty about the
spread of the COVID19 virus and the impact it will have on the
Company's operations, global supply chains and economic activity in
general. Because of these and other risks, uncertainties and
assumptions, undue reliance should not be placed on these
forward-looking statements. In addition, these statements speak
only as of the date of this press release and, except as may be
required by law, the Company undertakes no obligation to revise or
update publicly any forward-looking statements for any reason.
SOURCE AnPac Bio-Medical Science Co., Ltd.