VCI Global Initiates Rescission and Cancellation of Shares from QuantGold Transaction, Tightening Capital Structure Following Reverse Split
VCI Global (NASDAQ: VCIG) has announced the rescission of its previously planned acquisition of a 20% stake in QuantGold Data Group Limited. The decision comes after an internal review revealed that Secure Encryption Storage Limited (SES), which was part of the original framework, did not possess the claimed portfolio of 129 patents that was fundamental to the transaction structure.
The Company will proceed with canceling all shares previously allocated for this acquisition, effectively reducing the outstanding share count and potentially enhancing earnings per share. This move follows VCI Global's recent reverse split and aligns with their strategy to maintain a disciplined capital structure. The Company will continue its cybersecurity business expansion through its V Gallant distributorship with SES and other technology partners.
[ "Share cancellation will result in a reduced outstanding share count, potentially enhancing earnings per share", "Strategic flexibility maintained to pursue new technology partnerships", "Company preserves capital by avoiding a potentially unfavorable acquisition", "Maintains existing cybersecurity business expansion through V Gallant distributorship" ]VCI Global (NASDAQ: VCIG) ha annunciato la rescissione della precedente acquisizione pianificata di una partecipazione del 20% in QuantGold Data Group Limited. La decisione arriva dopo una revisione interna che ha rilevato che Secure Encryption Storage Limited (SES), parte del quadro originario, non possedeva il portafoglio dichiarato di 129 brevetti, essenziale per la struttura della transazione.
• La cancellazione delle azioni comporterà una riduzione del numero di azioni in circolazione, potenzialmente aumentando l’utile per azione. • Flessione strategica per mantenere la flessibilità nel perseguire nuove partnership tecnologiche. • L’azienda conserva capitale evitando un’acquisizione potenzialmente sfavorevole. • Mantiene l’espansione del business di cybersecurity tramite il distributore V Gallant.
VCI Global (NASDAQ: VCIG) ha anunciado la rescisión de la adquisición previamente planificada de una participación del 20% en QuantGold Data Group Limited. La decisión se produce tras una revisión interna que reveló que Secure Encryption Storage Limited (SES), parte del marco original, no poseía el portafolio declarado de 129 patentes que era fundamental para la estructura de la transacción.
La Compañía procederá a cancelar todas las acciones asignadas previamente a esta adquisición, reduciendo efectivamente el número de acciones en circulación y potencialmente mejorando las ganancias por acción. Este movimiento sigue al reciente split inverso de VCI Global y se alinea con su estrategia de mantener una estructura de capital disciplinada. La Compañía continuará su expansión del negocio de ciberseguridad a través de su distribuidor V Gallant con SES y otros socios tecnológicos.
• La cancelación de acciones resultará en una reducción del número de acciones en circulación, posiblemente aumentando las ganancias por acción. • Flexibilidad estratégica para buscar nuevas asociaciones tecnológicas. • La compañía preserva el capital al evitar una adquisición potencialmente desfavorable. • Mantiene la expansión del negocio de ciberseguridad a través del distribuidor V Gallant.
VCI Global (NASDAQ: VCIG)는 QuantGold Data Group Limited의 20% 지분에 대한 이전 계획된 인수를 해제했다고 발표했습니다. 이 결정은 내부 검토 결과, 원래 프레임워크의 일부였던 Secure Encryption Storage Limited(SES)가 거래 구조에 필수적이었던 129개의 특허 포트폴리오를 보유하고 있지 않다는 점이 확인된 후 내려졌습니다.
회사는 이 인수에 앞서 배정되었던 모든 주식을 취소할 것이며, 이는 발행 주식 수를 실제로 줄이고 주당순이익(EPS)을 높일 수 있습니다. 이 조치는 VCI Global의 최근 역분할 이후의 조치이며, 자본 구조를 규율적으로 유지하려는 전략과 일치합니다. 또한 SES 및 다른 기술 파트너와의 V Gallant 유통망을 통해 사이버 보안 사업 확장을 계속할 것입니다.
• 주식 취소로 유통 주식 수가 감소하여 주당순이익이 높아질 가능성이 있습니다. • 새로운 기술 파트너십을 모색하는 전략적 유연성 유지. • 잠재적으로 불리한 인수를 피함으로써 자본을 보존합니다. • SES 및 다른 파트너들과의 V Gallant 유통망을 통한 사이버 보안 사업 확장 유지.
VCI Global (NASDAQ: VCIG) a annoncé la résiliation de l'acquisition précédemment envisagée d'une participation de 20% dans QuantGold Data Group Limited. Cette décision survient après un examen interne ayant révélé que Secure Encryption Storage Limited (SES), qui faisait partie du cadre initial, ne possédait pas le portefeuille déclaré de 129 brevets, fondamental pour la structure de la transaction.
La société procédera à l’annulation de toutes les actions préalablement attribuées à cette acquisition, réduisant ainsi le nombre d’actions en circulation et potentiellement améliorant le bénéfice par action. Cette mesure fait suite au récent regroupement inversé de VCI Global et s’aligne sur leur stratégie visant à maintenir une structure de capital disciplinée. La société poursuivra son expansion dans le domaine de la cybersécurité via son distributeur V Gallant avec SES et d’autres partenaires technologiques.
• L’annulation des actions réduira le nombre d’actions en circulation, augmentant potentiellement le bénéfice par action. • Flexibilité stratégique pour poursuivre de nouveaux partenariats technologiques. • La société préserve le capital en évitant une acquisition potentiellement défavorable. • Maintien de l’expansion de l’activité cybersécurité via le distributeur V Gallant.
VCI Global (NASDAQ: VCIG) hat die Rücknahme der zuvor geplanten Übernahme von 20% an QuantGold Data Group Limited angekündigt. Die Entscheidung erfolgte nach einer internen Prüfung, die ergeben hat, dass Secure Encryption Storage Limited (SES), Teil des ursprünglichen Rahmens, nicht im Besitz des behaupteten Portfolios von 129 Patenten war, das für die Struktur der Transaktion wesentlich war.
Das Unternehmen wird alle Aktien, die zuvor zu dieser Übernahme zugeteilt wurden, stornieren, wodurch die ausstehenden Aktienanzahl tatsächlich reduziert wird und potenziell den Gewinn je Aktie erhöht. Diese Maßnahme folgt dem jüngsten Reverse Split von VCI Global und stimmt mit der Strategie überein, eine disziplinierte Kapitalstruktur beizubehalten. Das Unternehmen wird sein Cybersicherheitsgeschäft durch seinen V Gallant-Vertriebsweg mit SES und anderen Technologiew partnern weiter ausbauen.
• Die Stornierung der Aktien führt zu einer Reduktion der umlaufenden Aktien, was den Gewinn pro Aktie erhöhen könnte. • Strategische Flexibilität zur Verfolgung neuer Technologierpartnerschaften. • Das Unternehmen behält Kapital bei, indem es eine potenziell ungünstige Akquisition vermeidet. • Fortsetzung der Expansion des Cybersicherheitsgeschäfts durch den V Gallant-Vertrieb.
VCI Global (المدرجة في ناسداك: VCIG) أعلنت عن إلغاء الاستحواذ المخطط سابقاً على حصة 20% من QuantGold Data Group Limited. يأتي القرار بعد مراجعة داخلية كشفت أن Secure Encryption Storage Limited (SES)، التي كانت جزءاً من الإطار الأصلي، لا تمتلك المحفظة المعلن عنها من 129 براءة اختراع التي كانت أساسية لبنية الصفقة.
ستقوم الشركة بإلغاء جميع الأسهم المخصصة سابقاً لهذه الصفقة، مما يقلل فعلياً من عدد الأسهم المصدرة في التداول وربما يعزز الأرباح للسهم. يتبع ذلك انخفاض بسيط في رأس مال الشركة بعد التجزئة العكسية ويتماشى مع استراتيجيتها للحفاظ على هيكل رأس مال منضبط. ستواصل الشركة توسيع أعمال الأمن السيبراني من خلال موزعها V Gallant مع SES وشركاء تقنيين آخرين.
• سيتم تقليل عدد الأسهم المتداولة نتيجة الإلغاء، مما قد يعزز الأرباح للسهم. • مرونة استراتيجية لمتابعة شراكات تقنية جديدة. • تحافظ الشركة على رأس المال بتجنب استحواذ قد يكون غير مُربح. • استمرار توسيع أعمال الأمن السيبراني من خلال موزع V Gallant.
VCI Global（纳斯达克股票代码：VCIG） 宣布取消先前计划收购 QuantGold Data Group Limited 20% 股权。此决定在内部审查后作出，发现原框架中的 Secure Encryption Storage Limited（SES）并未拥有交易结构所必需的声明的 129 项专利组合。
公司将取消此前就此项收购分配的所有股份，实际减少在外流通股本，可能提升每股收益。此举紧随 VCI Global 最近的反向拆分，并与其保持纪律性资本结构的策略一致。公司将通过 SES 及其他技术伙伴与 V Gallant 经销商继续扩大其网络安全业务。
• 取消股份将导致在外流通股本减少，可能提升每股收益。 • 保持战略灵活性以寻求新的技术合作伙伴关系。 • 通过避免潜在不利的收购来保留资本。 • 通过 V Gallant 经销商继续推动网络安全业务扩展。
- None.
- Failed acquisition attempt of QuantGold indicates potential due diligence issues
- Discovery of misrepresented patent portfolio in the original transaction structure
- Loss of anticipated technological capabilities from the planned acquisition
Insights
VCI Global's rescission of the QuantGold deal improves capital structure but reveals concerning discrepancies in the target's claimed patent portfolio.
VCI Global's decision to rescind its 20% stake acquisition in QuantGold represents a significant corporate restructuring event with several implications for shareholders. The company is executing a complete unwinding of the transaction after discovering that QuantGold's proposed acquisition target (SES) did not possess the 129 patents that were fundamental to the deal's structure.
This rescission is strategically timed following VCI Global's recent reverse split, creating a more efficient capital structure by cancelling shares previously allocated for the acquisition. While management frames this as positive for enhancing earnings per share potential, the underlying reasons raise some concerns about the company's due diligence process.
The disclosure reveals a material discrepancy between what was communicated in previous announcements and reality - specifically that the patent portfolio that was central to the transaction's value proposition doesn't exist as described. This suggests potential weaknesses in VCI's pre-deal verification procedures.
Despite the setback, the company appears to be pivoting strategically, maintaining its relationship with SES through a distributorship model for its V Gallant cybersecurity business. This approach potentially offers greater flexibility and reduced capital commitment compared to an equity investment, allowing VCI Global to partner with multiple technology providers rather than being tied to one.
This restructuring indicates management's willingness to correct course when acquisitions don't align with shareholder value creation, though investors should monitor whether more thorough due diligence processes are implemented for future transactions.
KUALA LUMPUR, Malaysia, Sept. 17, 2025 (GLOBE NEWSWIRE) -- VCI Global Limited (NASDAQ: VCIG) (“VCI Global” or the “Company”), today announced the rescission of its previously announced acquisition of
Following an internal and strategic review, VCI Global’s board determined that the proposed acquisition would not deliver optimal value for shareholders. The Company has therefore initiated formal proceedings to rescind the transaction and cancel all shares previously allocated for this acquisition, resulting in a reduction in outstanding share count and enhanced earnings per share potential.
Key Transaction Clarifications
SES Acquisition and Patent Portfolio: As part of the original framework, QuantGold had contemplated the acquisition of Secure Encryption Storage Limited ("SES") together with the relevant intellectual properties for HKD 10 million. However, upon VCI Global's review, it was determined that SES does not possess the previously referenced portfolio of 129 patents, which represented a fundamental component of the transaction structure. Consequently, the SES acquisition never materialized, and these findings were significant considerations in the Company's decision to rescind the QuantGold acquisition.
Intellectual Property Position: Any prior references to proprietary technologies associated with QuantGold in previous Company communications are hereby clarified: no intellectual property has been transferred or assigned to VCI Global or QuantGold. This preserves the Company's flexibility to pursue more strategic technology partnerships.
With these matters resolved, VCI Global is well-positioned to advance its cybersecurity business through its V Gallant distributorship with SES and other technology partners. This streamlined approach enables faster market penetration while maintaining strategic flexibility to partner with leading technology providers.
“The initiation of the rescission and cancellation process reflects our commitment to maintaining a disciplined capital structure, especially following our recently completed reverse split,” said Dato’ Victor Hoo, Group Executive Chairman and Chief Executive Officer of VCI Global. “Upon completion, this action will result in a tighter share base and a sharper focus as we expand our cybersecurity operations under V Gallant.”
About VCI Global Limited
VCI Global Limited is a cross-sector platform builder at the forefront of technology and financial architecture. The Company focuses on developing and scaling platforms across artificial intelligence, encrypted data infrastructure, digital treasury systems, and next-generation capital market solutions.
By integrating technology innovation with financial ecosystems, VCI Global enables enterprises, governments, and institutions to capture opportunities in the evolving digital economy. The Company’s strategy is centered on building scalable platforms that deliver resilience, efficiency, and long-term value across multiple high-growth sectors.
For more information on the Company, please log on to https://v-capital.co/.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that are subject to various risks and uncertainties. Such statements include statements regarding the Company’s ability to grow its business and other statements that are not historical facts, including statements which may be accompanied by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. These forward-looking statements are based only on our current beliefs, expectations, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict and many of which are outside of our control. Therefore, you should not rely on any of these forward-looking statements. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, the Company’s ability to achieve profitable operations, customer acceptance of new products, the effects of the spread of coronavirus (COVID-19) and future measures taken by authorities in the countries wherein the Company has supply chain partners, the demand for the Company’s products and the Company’s customers’ economic condition, the impact of competitive products and pricing, successfully managing and, general economic conditions and other risk factors detailed in the Company’s filings with the United States Securities and Exchange Commission (“SEC”). The forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake any responsibility to update the forward-looking statements in this release, except in accordance with applicable law.
CONTACT INFORMATION:
For media queries, please contact:
VCI GLOBAL LIMITED
enquiries@v-capital.co
FAQ
Why did VCIG cancel its acquisition of QuantGold?
How will the share cancellation affect VCIG stockholders?
What happens to VCIG's cybersecurity business plans after the QuantGold cancellation?
What intellectual property does VCIG retain after the QuantGold deal cancellation?
How does this cancellation align with VCIG's recent reverse stock split?
