WPCS International Incorporated , which specializes in contracting services for communications infrastructure domestically and natural gas and petroleum transmission pipelines internationally, announced today that on June 3, 2015 it entered into an interest purchase agreement to sell its 60% joint venture and profit interest in Tai’an AGS Pipeline Construction Co. Ltd., a contractual joint venture established in accordance with the laws of the People’s Republic of China (“TAGS”), to Canada-based Halcyon Coast Investment (Canada) Ltd., in an “as-is”, all-cash transaction for a total purchase price of $1,500,000, which includes a $150,000 refundable deposit that was paid at signing. The closing of this transaction is subject to the approval of the Tai’an Bureau of Commerce and Industry.
According to Interim CEO Sebastian Giordano, “While we value the long-standing relationship with our joint venture partner, selling TAGS has been an important component of our operational restructuring plan, which has resulted in the closure of the Trenton Operations and the divestitures of both the Seattle and Australia Operations. The proceeds of this sale will provide working capital to the Company.”
About WPCS International Incorporated
WPCS provides contracting services to the public services, healthcare, energy and corporate enterprise markets in the United States and China. For more information, please visit www.wpcs.com.
WPCS International Incorporated
Chief Financial Officer