M&A - Borqs Technologies, Inc.

Form Type: 20-F

Filing Date: 2025-05-15

Corporate Action: Acquisition

Type: Update

Accession Number: 000121390025043752

Filing Summary: Borqs Technologies, Inc. has undergone a significant acquisition process, with Sasken Technologies Limited agreeing to acquire certain hardware and software services of the Company. The Share Purchase Agreement, signed on April 8, 2025, led to the acquisition of the Company’s core business through its wholly owned subsidiary, BORQS International Holding Corp. The transaction included embedded software design and customized hardware manufacturing assets related to Internet of Things (IoT) activities and fetched an aggregate purchase price of $40 million, subject to adjustments. The acquisition marks a transformative phase for Borqs as it classifies related assets and liabilities as held for sale since 2022, with revenues and expenses attributed to discontinued operations during this transition. The outcomes of this acquisition decision reflect Borqs' strategy to streamline its operations and focus on core business areas. Overall, this indicates a substantial restructuring in response to market dynamics and the Company’s future direction.