ModuLink Inc. (MDLK) Announces Letter of Intent to Acquire 60% Equity Interest in ASA Robotics Limited

Rhea-AI Summary

ModuLink (OTC: MDLK) executed a non-binding Letter of Intent on December 11, 2025 to acquire a 60% equity interest in Hong Kong-based ASA Robotics Limited through its Hong Kong subsidiary, subject to due diligence and a definitive Share Purchase Agreement.

Consideration to the seller is 6,500 preferred shares at ~USD 98.62 per share, totalling HKD 5,000,000 (USD 641,026). The equity stake grants majority ownership, board representation rights, and two-year anti-dilution protection. ASA's existing management will remain in place.

A 60-day due diligence period starts immediately; the parties expect closing 30–60 days after due diligence, subject to customary closing conditions. ASA serves government, healthcare, elderly care, public organizations and property developers across Hong Kong, Taiwan, Singapore, Malaysia and Australia.

Positive

• ModuLink to acquire 60% of ASA shares
• Deal consideration: 6,500 preferred shares (~USD 98.62 each; HKD 5,000,000)
• Two‑year anti-dilution protection for ModuLink's equity interest
• Board appointment rights following completion

Negative

• Agreement is a non-binding LOI pending definitive SPA and due diligence
• Transaction value listed as HKD 5,000,000 (USD 641,026), which may be modest relative to larger strategic deals
• Closing is subject to customary conditions and a successful 60-day due diligence review

Key Figures

Equity interest 60% Planned acquisition stake in ASA Robotics Limited

Preferred shares issued 6,500 shares Consideration to seller for ASA stake

Issue price per share USD 98.62 Implied value per preferred share in transaction

Transaction value (HKD) HKD 5,000,000 Stated consideration for 60% of ASA

Transaction value (USD) USD 641,026 USD equivalent of HKD 5,000,000 consideration

Anti-dilution period 2 years Equity interest protected from dilution post-closing

Due diligence period 60 days Review period starting after LOI execution

Expected closing window 30–60 days Target closing timeline after due diligence completion

Market Reality Check

$0.0007 Last Close

Volume Volume 400,199 matches the 20-day average, suggesting no pre-news accumulation. normal

Technical Price at $0.0006 sits 14.29% below the $0.0007 52-week high and at the 52-week low.

Market Pulse Summary

The stock surged +16.7% in the session following this news. A strong positive reaction aligns with the strategic nature of this LOI, which would give ModuLink a 60% stake in ASA Robotics for about HKD 5,000,000. With the stock trading near its 52-week low before the announcement, investors may have reassessed the company’s positioning in robotics and AI. However, the deal remains non-binding and subject to a 60-day due diligence and closing conditions, which could introduce execution risk.

Key Terms

letter of intent financial

"it has executed a non-binding Letter of Intent ("LOI") with Mr."

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.

preferred shares financial

"ModuLink will issue to the Seller 6,500 preferred shares at approximately"

Preferred shares are a type of investment that gives investors priority over common shareholders when it comes to receiving dividends and getting their money back if a company is sold or liquidated. Think of them as a safer, more predictable way to earn income from a company's profits, similar to a fixed-return investment, but without voting rights. This makes preferred shares appealing to those seeking stable income with a higher claim on assets than regular stockholders.

share purchase agreement financial

"subject to due diligence and the execution of a definitive Share Purchase Agreement."

A share purchase agreement is a written contract that outlines the terms and conditions for buying and selling shares of a company. It specifies details like the price, number of shares, and any special conditions, ensuring both buyer and seller agree on the transaction. For investors, it provides clarity and legal protection, making sure the purchase is clear and enforceable.

due diligence financial

"A 60-day due diligence review will commence immediately."

Due diligence is the careful investigation and analysis someone conducts before making a decision, such as investing money or entering into an agreement. It’s like researching thoroughly before buying a used car to ensure it’s in good condition; this helps prevent surprises and makes informed choices. For investors, due diligence reduces risk by verifying details and understanding what they’re getting into.

artificial intelligence technical

"a Hong Kong-based robotics and artificial intelligence solutions company."

Artificial intelligence is the ability of computers and machines to perform tasks that typically require human thinking, such as understanding language, recognizing patterns, or making decisions. For investors, it matters because AI can enhance efficiency, uncover new insights, and enable smarter strategies, potentially impacting the value and performance of companies that develop or utilize this technology.

AI-generated analysis. Not financial advice.

HONG KONG, HK / ACCESS Newswire / December 11, 2025 / ModuLink Inc. (OTC:MDLK) is pleased to announce that it has executed a non-binding Letter of Intent ("LOI") with Mr. Wah Shing LAM, a major shareholder of ASA Robotics Limited ("ASA"), a Hong Kong-based robotics and artificial intelligence solutions company. Under the LOI, ModuLink intends to acquire a 60% equity interest in ASA through its Hong Kong subsidiary, subject to due diligence and the execution of a definitive Share Purchase Agreement.

Transaction Highlights

• ModuLink will acquire 60% of the issued and outstanding shares of ASA.

• As consideration, ModuLink will issue to the Seller 6,500 preferred shares at approximately USD 98.62 per share, representing a total value of HKD 5,000,000 (USD 641,026).

• The acquisition will provide ModuLink with majority ownership, including governance and board representation at ASA.

• ModuLink's equity interest will be protected against dilution for two years following the completion of the transaction.

Management Commentary

William Fu, Chief Executive Officer of ModuLink Inc., commented:

"This LOI represents an important milestone in expanding ModuLink's footprint in advanced robotics and AI-powered solutions. ASA's technology capabilities and its established client base-including government agencies, hospitals, elderly nursing centers, public organizations and property developers across Hong Kong, Taiwan, Singapore, Malaysia and Australia-align closely with our long-term vision and growth strategy. We see strong synergy potential, particularly in healthcare, elderly care and smart-facility applications. By integrating ASA's innovations with ModuLink's smart living platform and Modular Integrated Construction (MiC) ecosystem, we aim to accelerate commercial deployment, enhance our product portfolio, and open new revenue opportunities across multiple markets. We look forward to working closely with the ASA team to drive innovation and deliver sustainable long-term value for our shareholders."

Following completion of the transaction, ModuLink will have the right to appoint directors to ASA's board, ensuring active participation in operational and strategic decision-making. ASA's current management team will remain in place to ensure continuity of operations.

Next Steps

• A 60-day due diligence review will commence immediately.

• Upon completion of due diligence, the parties will negotiate and execute a definitive Share Purchase Agreement.

• The transaction is expected to close within 30 to 60 days after the completion of due diligence, subject to customary closing conditions.

About ASA Robotics Limited
ASA Robotics Limited is a Hong Kong-based company specializing in advanced robotics and AI automation solutions for healthcare and industrial applications.

Website: https://www.asa-robotics.com/

About ModuLink Inc.

ModuLink Inc. focuses on developing sustainable and intelligent living environments through the integration of advanced technologies. The Company specializes in Modular Integrated Construction (MiC), Air-to-Water (A2W) technology, and IoT-based property management systems, enabling scalable, self-sustaining and eco-friendly developments worldwide.

Through its ModuLink brand, we continue our mission to build communities that "Live Smart, Live Green," enhanced by air-to-water systems that deliver reliable, energy-efficient water generation for healthier and more resilient environments.

For more information, please visit www.modulinktech.com.

Forward-looking Statements Safeharbor

This press release contains forward-looking statements which are included within the meaning of Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements, which are often indicated by terms such as "anticipate," "believe," "could," "estimate," "expect," "goal," "intend," "look forward to," "may," "plan," "potential," "predict," "project," "should," "will," "would" and similar expressions. Forward-looking statements in this release may include, without limitation, statements regarding the Company's business strategy, expansion plans, product development initiatives, partnerships, market opportunities, operational outlook, financial performance, and the anticipated benefits, timing, structure, or likelihood of completing the proposed acquisition of a 60% equity interest in ASA Robotics Limited.

These forward-looking statements are based on current expectations, assumptions, estimates, and projections made by management and are not guarantees of future performance. Actual results may differ materially from those expressed or implied due to various risks and uncertainties, including, but not limited to: the Company's ability to successfully complete due diligence; the negotiation, execution, and delivery of a definitive Share Purchase Agreement; the satisfaction of all closing conditions; regulatory or third-party approvals; integration challenges associated with acquisitions; the performance of ASA following the transaction; market acceptance of new technologies; changes in economic, operational, or industry conditions; funding requirements; competitive pressures; and other factors beyond the Company's control.

The execution of the LOI does not guarantee that the proposed transaction will be consummated on the terms described, within the anticipated timeline, or at all. Existing and prospective investors are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this release. ModuLink Inc. assumes no obligation to update or revise any forward-looking statements to reflect future events, developments, or changes in expectations, except as required by applicable law.

Information on the Company's website at www.modulinktech.com does not constitute a part of this release.

Contact:

ModuLink Inc.
Phone: 888-493-8028
Email: IR@MODULINKTECH.COM

SOURCE: ModuLink Inc.

View the original press release on ACCESS Newswire

FAQ

What did ModuLink (MDLK) announce on December 11, 2025?

ModuLink announced a non-binding LOI to acquire a 60% equity interest in ASA Robotics Limited.

How much is ModuLink paying for the 60% stake in ASA (MDLK)?

Consideration is 6,500 preferred shares at ~USD 98.62 per share, totaling HKD 5,000,000 (USD 641,026).

What is the timeline for ModuLink's (MDLK) ASA acquisition?

A 60-day due diligence review begins immediately; the transaction is expected to close 30–60 days after due diligence completion.

Will ModuLink (MDLK) control ASA after the deal closes?

Yes; ModuLink would hold a majority 60% stake with rights to appoint directors and governance influence.

Does ModuLink (MDLK) have anti-dilution protection for its ASA stake?

Yes; ModuLink's equity interest is protected against dilution for two years after closing.

Will ASA's management change after ModuLink (MDLK) acquires the stake?

The announcement states ASA's current management team will remain in place to ensure operational continuity.