Autozi Internet Technology (Global) Ltd. (Nasdaq: AZI) Announces Letter of Intent for Proposed Reverse Takeover Transaction with Privately Held Operating Company

Autozi Internet Technology (Global) (Nasdaq: AZI) signed a letter of intent with a privately held operating company for a proposed reverse takeover transaction.

Rhea-AI Summary

Autozi Internet Technology (Global) (Nasdaq: AZI) signed a letter of intent with a privately held operating company for a proposed reverse takeover transaction. The Counterparty is expected to be valued at about $300 million, with the combined Nasdaq-listed company estimated at roughly $320 million, which Autozi describes as materially larger than its current market capitalization.

The Counterparty’s identity and detailed terms remain confidential while due diligence and definitive agreements are negotiated. Autozi targets closing before year-end, but completion depends on financing, board, shareholder and regulatory approvals, and the company cautions there is no assurance the transaction will be completed.

Positive

• Estimated Counterparty valuation of about $300 million in proposed RTO
• Combined company valuation expected around $320 million, above current market cap
• Autozi shareholders expected to retain equity in the combined Nasdaq-listed company
• Proposed deal provides access to additional business capabilities and strategic resources

Negative

• Transaction only at letter of intent stage, not yet definitive
• Completion subject to due diligence, approvals and financing with no assurance of closing

News Explained

The proposed reverse takeover would leave Autozi shareholders holding equity in the combined company if completed, but the LOI does not disclose the ownership split, consideration, or dilution mechanics, so the effect on existing holders cannot yet be sized.

Argus Aug 7 session 43 alerts

-6.25% close to close 3.0x rel. volume Open Argus

Details

Market move: AZI -6.25% in the Aug 7 session. reverse takeover LOI

+49.7% Peak Tracked

-6.1% Trough Tracked

$3.75M Market Cap

On Aug 7, the day this news came out, AZI closed 6.25% below the previous close. Argus tracked a peak move of +49.7% during that session. Argus tracked a trough of -6.1% from its starting point during tracking. Our momentum scanner recorded 43 alerts for this stock that day. Relative volume reached 3.0x the daily average during tracking.

Data tracked by StockTitan Argus for the Aug 7 session.

Market Context

On Aug 7, the day this news came out, the stock closed 6.3% below the previous close. -36.44% was AZ...

Analysis

On Aug 7, the day this news came out, the stock closed 6.3% below the previous close. -36.44% was AZI's 24-hour reaction to its March share-consolidation announcement. The effective F-3/A is a resale registration for 34,972,600 shares, and the company receives no resale proceeds.

Key Figures

Counterparty valuation: $300 million Combined valuation: $320 million

Counterparty valuation

$300 million

Proposed reverse takeover transaction

Combined valuation

$320 million

Estimated valuation upon transaction completion

Historical Context

5 past events · Latest: Jun 24

5 events

1. Jun 24

   Financing agreement

   24h Move

   +73.7%

   Institutional financing provided up to $5.25 million for corporate initiatives.

2. May 29

   Earnings report

   24h Move

   -5.0%

   Revenue declined while net loss widened during the first half of fiscal 2026.

3. Mar 29

   Nasdaq compliance notice

   24h Move

   +0.0%

   Nasdaq identified noncompliance with the $50 million minimum market value requirement.

4. Mar 18

   Share consolidation

   24h Move

   -36.4%

   The company announced a 10-for-1 consolidation to address Nasdaq listing compliance.

5. Mar 10

   Investment commitment

   24h Move

   -10.7%

   Co-investors committed a $110 million equity investment, including a $30 million tranche.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

letter of intent, reverse takeover transaction

2 terms

letter of intent financial

"entered into a letter of intent with a privately held operating company"

A letter of intent is a document that shows an agreement in principle between parties to work towards a future deal or transaction. It outlines their intentions and key terms, acting like a roadmap before a formal contract is signed. For investors, it signals serious interest and helps clarify expectations early in the process.

reverse takeover transaction financial

"to pursue a proposed reverse takeover transaction"

A reverse takeover transaction is when a private company becomes publicly traded by merging with or taking control of an already-listed public company, often a small shell, rather than going through a traditional initial public offering. For investors this matters because it can quickly create tradable shares and change who runs the business, but it also brings extra risks and uncertainties—less regulatory vetting, potential hidden liabilities, and possible share dilution—so scrutiny and due diligence are important.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Proposed transaction expected to transform Autozi into a significantly larger Nasdaq-listed platform with an estimated combined valuation of approximately $320 million

BEIJING, Aug. 07, 2026 (GLOBE NEWSWIRE) -- Autozi Internet Technology (Global) Ltd. (Nasdaq: AZI) (“Autozi” or the “Company”), today announced that it has entered into a letter of intent (the “LOI”) with a privately held operating company (the “Counterparty”) to pursue a proposed reverse takeover transaction (the “Transaction”).

Under the proposed Transaction, the Counterparty is expected to be valued at approximately $300 million. Upon completion of the Transaction, the combined company is expected to have an estimated valuation of approximately $320 million, representing a significant expansion in scale compared with Autozi’s current public market capitalization.

The identity of the Counterparty and additional commercial terms remain confidential pending due diligence and negotiation and execution of definitive transaction documents. The parties intend to target completion before year end, subject to customary closing conditions.

Two Sources of Value for Shareholders

The reverse takeover entity.

Upon completion of the Transaction, Autozi would combine with the Counterparty to create a Nasdaq-listed company with an estimated valuation of approximately $320 million. Autozi shareholders would continue to hold equity interests in the combined company and participate in future growth opportunities.

Strategic expansion opportunity.

The proposed Transaction is expected to provide Autozi with access to additional business capabilities, strategic resources and growth opportunities.

What Shareholders Would Receive

Following completion of the proposed Transaction, Autozi shareholders are expected to continue holding equity interests in the combined Nasdaq-listed company and participate in the future growth potential of the expanded platform.

CEO Statement

“Autozi is committed to creating long-term shareholder value through strategic initiatives and transformative business opportunities,” said Mr. Houqi Zhang, Chief Executive Officer of Autozi.

Transaction Status

Completion of the proposed Transaction remains subject to due diligence, definitive transaction documents, financing arrangements and required board, shareholder and regulatory approvals. There can be no assurance that the Transaction will be completed.

About Autozi Internet Technology (Global) Ltd.

Autozi Internet Technology (Global) Ltd. is a technology-enabled company focused on automotive lifecycle services and strategic commercial opportunities.

Forward-Looking Statements

This press release contains certain statements that may be deemed to be forward-looking statements within the meaning of federal securities laws, including the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. These statements relate to the proposed Transaction, future business strategy, market opportunities, expected timing and future performance.

Forward-looking statements are based on current expectations, estimates and assumptions and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied. Readers should not place undue reliance on these statements. The Company assumes no obligation to update forward-looking statements except as required by law.

Investor Relations Contact

Autozi Internet Technology (Global) Ltd.
Mr. Jiabing Song
Email: boardoffice@autozi.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did Autozi (NASDAQ: AZI) announce on August 7, 2026?

Autozi announced it signed a letter of intent for a proposed reverse takeover with a privately held operating company. According to Autozi, the Counterparty may be valued at about $300 million, with the combined Nasdaq-listed company estimated at roughly $320 million.

What is the estimated valuation of the proposed Autozi (AZI) reverse takeover transaction?

The proposed transaction values the Counterparty at approximately $300 million and the combined company around $320 million. According to Autozi, this estimated valuation would represent a significant expansion in scale versus Autozi’s current public market capitalization, if the transaction is completed.

What will Autozi (AZI) shareholders receive in the proposed reverse takeover?

Autozi shareholders are expected to continue holding equity interests in the combined Nasdaq-listed company. According to Autozi, this structure would allow existing shareholders to participate in any future growth opportunities of the expanded $320 million estimated valuation platform, if completed.

When is the proposed Autozi (AZI) reverse takeover expected to close?

The parties intend to target completion of the proposed transaction before year end. According to Autozi, closing timing remains uncertain because the deal is subject to due diligence, definitive agreements, financing arrangements, and required board, shareholder and regulatory approvals.

What conditions must be met before Autozi (AZI) can complete the reverse takeover?

Completion requires successful due diligence, negotiation and execution of definitive transaction documents, financing and multiple approvals. According to Autozi, the deal needs board, shareholder and regulatory approvals, and the company explicitly warns there can be no assurance the transaction will be completed.

Does Autozi (AZI) disclose the identity or detailed terms of the Counterparty in the proposed deal?

The Counterparty’s identity and additional commercial terms are not disclosed and remain confidential. According to Autozi, these details will stay confidential while due diligence proceeds and definitive transaction documents are negotiated, meaning investors currently have limited visibility into the operating company involved.

What business is Autozi (NASDAQ: AZI) in after the proposed reverse takeover announcement?

Autozi describes itself as a technology-enabled company focused on automotive lifecycle services and strategic commercial opportunities. According to Autozi, the proposed reverse takeover is expected to provide access to additional business capabilities, strategic resources and growth opportunities if the transaction closes.