Alibaba affiliate AGTech Holdings has announced on its website (https://media-agtech.todayir.com/) that its has purchased Macau Pass, the city's sole mobile payment provider, for HK$778 million (801 million patacas/US$100 million), "subject to downward adjustment".
According to a statement by the Hong Kong-listed company on Friday, Macau Pass Holding Ltd will become an indirect wholly-owned subsidiary AGTech Holdings Limited.
The statement noted that "Macau Pass provides acquiring services to merchants enabling them to accept different payment methods of other payment service providers such as the “Alipay” e-wallet, the “AlipayHK” e-wallet and Ant Bank’s “Alipay (Macao)” e-wallet operated by the Alipay Entities and/or their affiliate(s), such that their customers may choose their preferred payment platforms at checkout. Macau Pass receives commission income from the merchants for processing payment of the transactions and pays a portion of such commission as service fees to the other payment service providers such as the Alipay Entities."
The statement points out that that "the acquisition constitutes a very substantial acquisition for the Company under Chapter 19 of the GEM [Growth Enterprise Market] Listing Rules and is subject to the reporting, announcement and Shareholders’ approval requirements."
As usual in this kind of situations, the statement cautions that "as closing [of the agreement] is subject to fulfilment or waiver (as the case may be) of the closing conditions, the acquisition may or may not proceed."
The statement identifies the purchasers as AGTech Investment and AGTech Services, both indirect wholly-owned subsidiaries of AGTech Holdings Limited. The sellers are listed as Liu Hei Wan, Liu Cheuk Yin, Kin Keong and Vong Chak Kin.
Liu Hei Wan is chairman of both public bus operator Transmac and Macau Pass. He's the brother of Macau businessman and former member of Macau's top advisory Executive Council Liu Chak Wan.
According to the statement, Liu Hei Wan holds 99 percent of the equity interest of Macau Pass.
According to its website, AGTech was incorporated in Bermuda and its shares are listed on the Hong Kong Stock Exchange's Growth Enterprise Market (Stock Code: 8279). "AGTech is an integrated technology and services company engaged in the lottery and mobile games and entertainment market with a focus on China and selected international markets. AGTech is the exclusive lottery platform of Alibaba Group and Ant Group."
