China Bat Group Inc (NASDAQ: GLG) is having an incredibly strong start to the trading session this morning, and for good reason. The company announced partnership news that excited investors, sending the stock screaming for the top. Today, we’ll talk about:
- The partnership news;
- what we’re seeing from GLG stock as a result; and
- what we’ll be watching for ahead.
GLG Stock Climbs On New Agreement
As mentioned above, China Bat Group is having a strong day in the market today after announcing a new agreement. In a press release issued early this morning, the company said that its subsidiary, Beijing Tianxing Kunlun Technology entered into a strategic cooperation agreement.
The agreement was signed with Liten Group, a private comapny that specializes in high-end automobile retail and operation of an automobile theme park, Dream Factory. According to the terms of the agremenet, GLG and Liten will establish a comprehensive long-term strategic partnership in the fields of automobile sourcing channels, automobile finance and car rental.
As part of the deal, both parties will use their advantages to provide all-around business support to each other. They will also jointly promote the upgrade of the high-end car rental industry chain through business cooperation and innovation. The agreement will remain effective for a period of 2 years.
In a statement, Mr. Jiaxi Gao, CEO and President at GLG, had the following to offer:
We are pleased to partner with the Liten Group in a long-term strategic relationship as we leverage our Batcar brand and digital platform to provide a unique experience for luxurious car rentals. The Liten Group has consistently been on the forefront of trends in the automotive industry as an established award-winning industry player and we believe Liten Group’s trust in us is a testament to our capabilities and an exciting privilege for us.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to work in the market is that the news leads to moves. When it comes to China Bat Group, the news proved to be overwhelmingly positive.
After all, the new partnership will open the door to a wider audience and strnger technology. So, it’s not surprising to see that excited investors are pushing the stock on a run for the top.
As is normally the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (9:30), GLG stock is trading at $2.79 per share after a gain of $0.76 per share or 37.38% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on GLG. In particular, we’re interested in following the story surrounding the company’s partnership with Linton and the expanded revenue this move results in. Nonetheless, we’ll keep a close eye on the story and bring the news to you as it breaks!
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