AB International Group Corp. Announces Spin-off of Its Non-Fungible Token (NFT) MMM IP and Artificial Intelligence (AI) Consulting Division Into a Separate Entity

NEW YORK, Dec. 03, 2024 (GLOBE NEWSWIRE) -- AB International Group Corp. (OTC: ABQQ), an intellectual property (IP) and movie investment and licensing firm, today announced the Company entered into Repurchase Agreements with four shareholders, all non-affiliates of the Company, pursuant to which the Company agreed to repurchase shares of their Common Stock, $0.001 par value, amounting to 300,000,000 shares for cancellation. The price to be paid by the Company under the Repurchase Agreements is $390,000, which will be funded with cash on hand.

AB International Group Corp. (OTC: ABQQ), an intellectual property (IP) and movie investment and licensing firm, announced on Friday that it will spin off its Non-Fungible Token (NFT) MMM IP and Artificial Intelligence (AI) Consulting division into a separate entity, with plans for this new company to go public.

The strategic move is designed to unlock shareholder value by allowing each business unit to pursue its own growth strategies independently. Here's a closer look at the details:

AB Digital Innovations to Focus on NFTs, AI Consulting

The new entity, to be tentatively named AB Digital Innovations, will shift its focus away from movie investments and concentrate on the development and commercialization of NFT marketplaces, AI consulting services, and related intellectual properties.

The company will leverage ABQQ's existing infrastructure in the NFT IP space, including the NFT Movie and Music Marketplace (NFT MMM), and expand into broader AI consulting services aimed at enhancing film production, distribution, and consumer engagement through AI technologies.

ABQQ to Spin Off NFT, AI Division for Separate IPO, Inviting External Investment

Benefits for Existing ABQQ Shareholders

The spin-off is expected to bring several benefits to ABQQ shareholders, including:

- Value Unlocking: The spin-off, bolstered by significant external investment, is expected to more clearly delineate the value of each business segment, leading to increased market valuation for shareholders.

- Investment Opportunity: Shareholders will receive shares in AB Digital Innovations, providing them not only with a stake in a new high-growth area but also the benefits from a substantial investment in the company.

- Higher Potential Returns: The investment and spin-off could lead to higher returns for shareholders as both entities can now pursue more aggressive growth strategies tailored to their niche markets.

- Increased Market Attention: The significant investment underscores the market's confidence in the potential of AB Digital Innovations, likely drawing additional interest from investors, which could enhance stock liquidity and market visibility.

AB International Group Corp. (OTC: ABQQ) is an intellectual property (IP) and movie investment and licensing firm, primarily engaged in the acquisition and distribution of movies. Among its ventures are AB Cinemas, a physical movie theater chain in New York, and ABQQ.TV, an online movie and TV streaming platform.

The company also operates in the Non-Fungible Token (NFT) space with its NFT Movie and Music Marketplace (NFT MMM), which serves as the intellectual property for the entertainment industry in this domain.

ABQQ Invites External Investment in Spin-Off to Drive Growth in Digital Assets, AI TechChiyuan Deng, CEO of AB International Group Corp., stated, “This spin-off is a testament to our commitment to innovation and growth. By separating our NFT and AI initiatives, we believe we can better tailor our strategies to meet the unique demands of these markets, thereby enhancing value for our stakeholders.”

Charles Tang, handling Investor Relations for the company, added, “We are excited about the potential this separation offers. It allows us to directly tap into the investor interest in NFTs and AI, sectors that are seeing unprecedented growth and investor enthusiasm.”

The company's stock closed down about 10% on Friday. However, it gained roughly 20% in the past five sessions.

The Impact of Streaming on Movie Theaters: A Changing Landscape As movie streaming services continue to gain popularity, the traditional movie theater industry has faced challenges in recent years. Multiplex theaters, once a common sight in malls and entertainment hubs, have had to adapt to the changing viewing habits of audiences.

Theaters have shifted their strategies to counter the streaming threat. Some have embraced the technology, offering streaming services in their lobbies or partnering with platforms to enhance the movie-viewing experience. Others have focused on creating a more immersive and engaging atmosphere in their theaters, complete with reclining seats, premium food and beverage options, and advanced sound and projection systems.

Theaters have also explored alternative programming to diversify their revenue streams and cater to a broader audience. This includes hosting live events, esports competitions, and even church services in some cases. Some theaters have also ventured into offering virtual reality experiences, aiming to complement the streaming options and provide a unique entertainment avenue.

Despite the challenges posed by streaming, movie theaters have remained resilient, largely due to the enduring appeal of the big-screen experience and the social aspect of movie-going. Theaters continue to play a crucial role in the film industry, serving as a primary platform for movie releases and contributing to the overall box office performance of films.

Theaters have had to strike a balance between embracing new technologies and maintaining the core elements that make the movie theater experience distinct from streaming at home. By adapting to the evolving entertainment landscape, theaters can continue to engage audiences and remain a vibrant part of the movie industry.