Color Star Technology Co. Ltd. (NASDAQ:CSCW) jumped 8% on Thursday and 14% in a week. The company has announced that it will acquire 51% of Hainan Netgod Cyber Café Network Co. Ltd’s (HNCCN) interest.HNCCN is headquartered in Haikou, and it is Hainan’s maiden internet café brand offering five-star services.
Following the acquisition of HNCCN, Color Star expects to integrate its high tech and interactive experiences in esports competitions, international internet cafes, and other services globally. In addition, HNCCN is a specialist in internet access services, esports hotel operational, and esports execution.In recent years, HNCCN has maintained status as Hainan’s most stylishesports stadium, focusing on reaching the goal of being a “Hainan’s benchmark esports stadium.”
Basil Wilson, the CEO of Color Star, said that after achieving exceptional results in its current business divisions, HNCCN is highly rated in the sector. He added that the acquisition of the 51% interest enables Color Star to own a leading internet café company. Therefore, ion the coming weeks, CSCW is worth watching.
Market Reaction:
On Thursday, CSCW stock gained 8% at $1.08 with more than 839k shares, compared to its average volume of 2.28 million shares. The stock has moved within a range of $1.0009 – 1.0800 after opening the trade at $1.04 .
