BRIEF: Synagistics to acquire Chinese AI firm for $30 million
Southeast Asian e-commerce company Synagistics Ltd. (2562.HK) announced on Monday it has entered into a subscription option deed to acquire Chinese AI firm Movitech Co. for $30 million.
Under the agreement, Movitech’s sellers have guaranteed that total revenue for the three financial years from Jan. 1, 2025 to Dec. 31, 2027 will not fall below 540 million yuan ($74 million), and its aggregate net profit will be 66 million yuan or higher.
Founded in 2011, Movitech is an AI and enterprise software company with a team of over 300 engineers. The company has provided AI-driven solutions — including big data and software platforms — to more than 1,200 enterprises across China and Asia, spanning industries such as real estate, healthcare, retail and manufacturing.
Synagistics said the acquisition will give it access to a customer base of over 1,200 enterprises and brands. The purchase is expected to support the company’s core Southeast Asian business, create additional revenue streams, and potentially enhance its financial performance.
The company’s stock fell over 13% in early trading on Monday, last quoted at HK$15.32.
By Lee Shih Ta
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