Goodwill Entertainment Announces S\$4 Million Acquisition of Funtech Solutions

Key Highlights of the Proposed Acquisition

• Acquisition Structure: Goodwill Entertainment Holding Limited (“Goodwill Entertainment” or “the Company”) has entered into a sale and purchase agreement (SPA) to acquire 100% equity interest in Funtech Solutions Pte. Ltd. (“Funtech”) for a total consideration of S\$4,000,000.
• Consideration Breakdown: The purchase consideration comprises S\$1,000,000 in cash and S\$3,000,000 via the allotment and issuance of 20,000,000 new ordinary shares in Goodwill Entertainment at an issue price of S\$0.15 per share. The cash portion is split into S\$650,000 payable at completion and S\$350,000 deferred, conditional upon the resolution of ongoing litigation involving Funtech.
• Disclosable Transaction: The deal is classified as a “disclosable transaction” under SGX Catalist Rules, with certain relative figures exceeding 5% but not 75%. Shareholder approval is not required, but the transaction may be price-sensitive.
• Strategic Rationale: The acquisition is aligned with Goodwill Entertainment’s strategy to expand its technology-enabled entertainment solutions, diversify revenue streams, and improve operational efficiency by internalizing Funtech’s capabilities.

Detailed Overview of the Transaction

About the Target Company and Vendors

• Funtech Solutions Pte. Ltd. specializes in development, installation, and consulting services for entertainment venues with advanced audio-visual technology. It is an authorized seller for a leading karaoke equipment producer in China and one of eight authorized commercial karaoke suppliers in Singapore.
• The vendors are Swa Hui Yoke (80% stake) and Zhang Jun Feng (20% stake). Swa Hui Yoke is also the sole director of Funtech.
• Funtech owns Edit Labs IT Solutions Sdn. Bhd., a dormant Malaysian subsidiary intended to undertake similar business activities.
• Funtech supports Goodwill’s “HaveFun Family Karaoke” outlets and is expected to enhance the Group’s operational capabilities.

Financial Details and Valuation

• Funtech’s net assets and net tangible assets as of 31 Dec 2025 were approximately S\$528,440. Net profits after tax for FY2025 were S\$666,268.
• No independent valuation was conducted; the deal was negotiated at arm’s length, representing about six times Funtech’s FY2025 profit after tax.
• The consideration shares (20,000,000) represent 5.06% of Goodwill’s existing share capital and 4.82% post-acquisition.

Litigation and Deferred Payment

• Funtech is involved in ongoing litigation related to a contractual dispute with a supplier. The vendors have agreed to bear sole responsibility and indemnify Goodwill for any losses related to this case.
• The S\$350,000 deferred cash consideration is only payable on successful resolution of the litigation. If unresolved after 12 months from completion, this payment obligation lapses, but the vendors’ indemnification obligation continues.
• Any recoveries from the litigation will be used to offset the deferred cash consideration, with any surplus payable to the vendors.

Principal Terms of the Acquisition

• Completion is subject to several conditions, including execution of undertakings by vendors (e.g., non-compete, moratorium, indemnification), no material adverse change, satisfactory due diligence, and SGX-ST approval for the listing and quotation of consideration shares.
• If completion does not occur by 5 August 2026 (unless extended by mutual agreement), the SPA will lapse.
• The vendors have agreed to a six-month moratorium on the sale or transfer of the consideration shares received.

Financial Impact on Shareholders

• EPS Enhancement: Pro forma earnings per share (EPS) for FY2025 are expected to increase from 0.42 to 0.56 Singapore cents, following the acquisition.
• NTA Impact: Net tangible assets per share are projected to decrease slightly from 5.14 to 4.97 Singapore cents post-acquisition due to share dilution.
• Share Capital: The number of issued shares will rise from 395,162,600 to 415,162,600, reflecting the issuance of consideration shares.

Shareholder Considerations & Price-Sensitive Aspects

• The acquisition is expected to generate new and recurring revenue streams by leveraging Funtech’s expertise in entertainment technology and software platforms, with opportunities for expansion into Singapore, Malaysia, and Southeast Asia.
• Partial payment in shares reduces Goodwill’s cash outlay, preserving working capital and aligning vendor interests with the Group’s future growth.
• Ongoing litigation involving Funtech remains a risk factor. The deferred payment structure and vendor indemnity mitigate this risk, but the case’s outcome could affect Goodwill’s financials and share price.
• There is no assurance that the acquisition will achieve or sustain the desired results in the long term.

Other Noteworthy Points

• No new board appointments or service contracts will occur due to this transaction.
• The Company will keep shareholders updated with any material developments regarding the acquisition or ongoing litigation.

Conclusion

The proposed acquisition of Funtech Solutions Pte. Ltd. represents a strategic move for Goodwill Entertainment to strengthen its position in technology-driven entertainment solutions, diversify its revenue base, and improve operational efficiency. The transaction structure, vendor alignment, and risk mitigation measures indicate careful planning, but ongoing litigation and integration risks remain watchpoints for investors.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. Investors should read official company announcements, consider their own financial situation, and consult professional advisers before making any investment decisions. The outcome of the proposed acquisition and litigation is subject to uncertainties and may affect the Company’s future financial performance and share price.

好威娱乐控股有限公司宣布以400万新元收购Funtech Solutions

交易要点概览

• 收购结构： 好威娱乐控股有限公司（下称“好威娱乐”或“公司”）已签署买卖协议，以400万新元收购Funtech Solutions Pte. Ltd.（“Funtech”）全部股权。
• 对价结构： 对价包括100万新元现金（65万新元交割时支付，35万新元待诉讼解决后支付），及300万新元通过发行2,000万新普通股支付，发行价为每股0.15新元。
• 交易性质： 此次收购属于新交所Catalist板块“可披露交易”，部分相关比率超过5%但不超过75%，无需股东批准，但对股价可能具有敏感性。
• 战略意义： 本次收购符合公司推动娱乐科技解决方案、收入多元化及内部化Funtech能力以提升运营效率的战略。

交易详细情况

标的公司与卖方信息

• Funtech主营娱乐场所高端视听技术开发、安装及咨询，是中国领先卡拉OK设备厂商在新加坡的授权销售商，也是新加坡八家被音乐版权组织认可的商业卡拉OK供应商之一。
• 卖方为Swa Hui Yoke（持股80%）与Zhang Jun Feng（持股20%），Swa Hui Yoke同时为Funtech唯一董事。
• Funtech持有马来西亚子公司Edit Labs IT Solutions（目前处于休眠状态）。
• Funtech为好威娱乐的“HaveFun Family Karaoke”门店提供技术支持，预期将增强集团运营能力。

财务与估值细节

• 截至2025年12月31日，Funtech净资产及有形净资产约为528,440新元，2025财年净利润为666,268新元。
• 本次对价约为Funtech 2025年税后利润的6倍，通过市场化谈判达成，未进行独立估值。
• 发行的2,000万新股占公司现有股本的5.06%，收购完成后占总股本的4.82%。

诉讼与递延付款安排

• Funtech涉及与供应商的装修合同纠纷诉讼，卖方须承担全部责任并对好威娱乐进行全额赔偿。
• 35万新元递延现金对价仅在诉讼全部解决后支付，若12个月后未解决，则该部分对价不再支付，但卖方赔偿义务持续。
• 诉讼回收金额将首先抵扣递延对价，剩余部分再支付给卖方。

主要条款

• 交易完成需满足多项条件，包括卖方签署竞业禁止、禁售等承诺，无重大不利变动，尽职调查满意及新交所批准新股上市等。
• 若2026年8月5日前未完成，协议自动失效，除非双方另行同意延期。
• 卖方承诺自获配新股之日起6个月内不得出售、转让所持新股。

对股东的影响及敏感信息

• 每股收益提升： 2025财年模拟每股收益将由0.42新分增至0.56新分。
• 每股净有形资产变化： 由5.14新分轻微下降至4.97新分，主要因股本摊薄。
• 总股本变化： 由3.9516亿股增至4.1516亿股。
• 本次收购将为公司带来娱乐科技及软件平台等新营收来源，具备向新加坡、马来西亚及东南亚拓展的潜力。
• 部分对价以股票支付，有助于公司保留现金，维持营运资金并将卖方利益与公司长期发展绑定。
• Funtech涉及诉讼仍存不确定性，相关风险由卖方承担，但若诉讼结果不利亦可能影响公司财务表现及股价。
• 公司不保证本次收购后业绩持续增长，存在无法达到或保持预期效果的风险。

其他要点

• 本次交易不会引入新董事或签订服务协议。
• 公司将就交易进展和诉讼事项在新交所平台及时披露重大信息。

结论

收购Funtech Solutions是好威娱乐推动娱乐科技、业务多元化及提升运营效率的重要举措。交易结构、风险防控合理，但仍需关注诉讼进展及整合风险。投资者应密切关注后续公告及相关动态。

免责声明

本文仅供信息参考，不构成投资建议。投资者应查阅公司正式公告，并结合自身情况及咨询专业顾问后做出投资决策。本次收购及诉讼结果存不确定性，可能影响公司未来业绩及股价。

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