|SEVEN STARS CLOUD GROUP, INC. filed this Form 8-K on 09/08/2017|
Bruno Wu’s Sun Seven Stars Announces Stock Distribution to its
Minority Shareholders, on a Portion of its SSC Stock Holdings
· Proxy voting on the distributed shares will remain with Sun Seven Stars and Mr. Wu for a minimum of one year
· Post distribution, Sun Seven Stars will continue to hold approximately 44% of the fully diluted vote
New York, NY, September 1, 2017 – Seven Stars Cloud Group, Inc. (NASDAQ: SSC) (“SSC” or the “Company” or “Seven Stars Cloud”) announced today, solely for informational purposes, that its largest shareholder, SSGCG, a fully owned subsidiary of Bruno Wu’s Sun Seven Stars, executed a Non- Remunerative Distribution (the “Distribution”) of approximately 19.9 million cumulative shares of his Seven Stars Cloud common and Preferred A stock holdings. The shares will be distributed pro rata to current minority shareholders of SSGCG. SSGCG’s minority shareholders are composed of management, business partners and management of SSC’s joint ventures.
The Distribution relates solely to Sun Seven Stars and its fully owned subsidiary SSGCG. This Distribution is not related in any manner to Seven Stars Cloud’s organizational or share structure and the distribution of shares by Sun Seven Stars/SSGCG does not constitute any type of sale of shares.
The distributed shares will be subject to a lock-up period of one year. The minority shareholders receiving shares have agreed that the voting rights on the distributed shares will remain with Sun Seven Stars/SSGCG throughout the entirety of the period they own the shares and for a minimum of one year. Along with the shares Bruno Wu and Sun Seven Stars are retaining, this will amount to approximately 44.9% of the common and preferred share vote and approximately 44% of the fully diluted vote.