Addentax to acquire Hong Kong lender Double Cash for 464,907 shares
What's the deal? Addentax Group will acquire Double CashDealroom has a profile for this one. Try Dealroom → Finance, a Hong Kong-based money lender, in exchange for 464,907 newly issued shares of its common stock. The acquisition runs through Addentax's wholly owned Hong Kong subsidiary, Yingxi Industrial Chain Investment, which will take 100% of Double Cash from sole shareholder Chan Kai Sang. The company's board approved the deal on November 2, and it was signed a day later.
What's the endgame? Addentax, a Nevada-incorporated company headquartered in Shenzhen, is building out a financial services arm as it moves away from garment manufacturing. The Double Cash purchase follows its May 2026 acquisition of Hong Kong money lender Time Is Loan and other recent deals, including Keemo Fashion Group.
Why now? The expansion comes as Addentax reported $172,000 in financing revenue for the quarter ended June 30, alongside larger consulting revenue. Double Cash fits a broader diversification effort rather than a standalone pivot.
How was it priced? The share count was set through arm's-length negotiations, referencing an October 13 valuation report by Miles Valuation Advisory. The shares will be issued under a Regulation S exemption, as Chan is not a US person and the transaction is offshore.
What could go wrong? The announcement does not disclose Double Cash's valuation, financial contribution, or operating details, so the 464,907-share consideration says little about the deal's significance. Closing depends on filing a Nasdaq Listing of Additional Shares Notification and customary conditions. Addentax remains small and loss-making.
The signal: The deal reflects Addentax's effort to reinvent itself as a diversified finance player. The open question is whether the new assets can generate meaningful, recurring revenue.
Read more: kalkinemedia.com
Image credit: See-ming Lee (SML)
