Business
Borqs Technologies, Inc. signed term-sheet for strategic alliance with China Health Industries Holdings, Inc. for development of IoT medical and life science devices based on 5G technology
Borqs Technologies, Inc. signed term-sheet for strategic alliance with China Health Industries Holdings, Inc. for development of IoT medical and life science devices based on 5G technology.
About this update from China Health Industries Holdings, Inc.
[{"type":"text","content":"\n SANTA CLARA, Calif., June 18, 2020 (GLOBE NEWSWIRE) -- Borqs Technologies, Inc. (Nasdaq: BRQS), (the “Company”, or “BRQS”), a global leader in embedded software and products for the Internet of Things (IoT) industry, today announced that the Company has signed a non-binding term-sheet on June 16, 2020 with China Health Industries Holdings, Inc. (OTCQB: CHHE) where CHHE intends to purchase up to $12 million of BRQS ordinary shares at the market price and warrants which have a two-year term and are exercisable at a premium of 25% above the sales price of the ordinary shares.  BRQS intends to use the proceeds of the CHHE investment for working capital and to form a new joint-venture subsidiary with CHHE particularly for the development and the procurement of mobile connected medical IoT products based on Qualcomm’s 5G technology. According to a research report supported by Qualcomm Technologies, Inc. and the Tusher Center for Intellectual Capital of the Haas School of Business at University of California at Berkeley, “the effect of 5G on the health care sector, its suppliers, and on sectors that use health care, will be substantial. IHS Markit calculates that the sales enabling effect of 5G will be over $1.1 trillion. 5G will have a large impact on the quality of health care received by hundreds of millions of patients and will fuel significant changes in the way in which health care is delivered.”* China Health Industries Holdings, Inc., through its wholly owned subsidiary, Harbin Huimeijia Biotechnology Co., Ltd. (“HHMJ Biotech”) engages in R&D, manufacturing and distribution of medical devices, drugs and health products in China licensed by the China Food and Drug Administration.  HHMJ Biotech is also registered with the U.S. Food and Drug Administration as a manufacturer of surgical apparel accessories, protective clothing and shields, particularly contributing to the containment of the current COVID-19 pandemic.  Both Borqs and CHHE are envisioning huge and new markets for connected medical IoT products and applications based upon the ultra-high speed 5G mobile technology. The transaction is subject to the signing of definitive documents within the next several weeks. *Reference: 5G Mobile: Impact on the Health Care Sector, by David J. Teece, Tusher Ce...