In March 2017, LiNiu Technology Group (NASDAQ:LINU) completed the acquisition of 51% stake in Jia-Heng Industrial Ltd., which is the holding firm of Guangzhou LiNiu. The operational report of Jia-Heng and its subsidiary firms have been consolidated in the fiscal report of LINU since March 2017.
LiNiu Technology introduced the LiNiu Network, an electronic C2C, O2O and B2C trading platform concentrated on the Chinese agricultural industry in April 2017. Since its release, the site has recorded daily traffic of more than 50,000 visitors, with over 130,000 users, around 20,000 suppliers registered and more than 80,000 items currently offered through the platform.
The Guangzhou LiNiu records revenue through advertising, commissions, guarantee deposits and management fees. Last month, Guangzhou LiNiu commenced recording revenue from commissions on deals in spite of having yet to advertise and promote the site.
Wang Shun Yang, the co-Chief Executive Officer of LiNiu, reported that the first quarter witnessed the official transformation of the firm toward its new plan of utilizing technology to develop solutions for the Chinese agricultural industry. Since introducing the LiNiu Network last month, the company has been recording consistent traffic and consider the platform has received strong support from the suppliers as well as the customers.
The company has commenced to record revenue from the site and intend to release a marketing campaign to promote increased awareness of the LiNiu Network and its ability to efficiently enhance Chinese agriculture in the imminent months.
After the firm closed its four VIP gaming rooms at Galaxy Macau, StarWorld, Le Royal Arc and the Sands Cotai Central Casino in Macau last year, LiNiu continued minimal operations and provisionally relocated the Macau VIP gaming unit to Altira Complex, which offers remuneration at a predetermined rate commission. In Q1 2017, net loss was $0.4 million versus net loss attributable of $3.5 million, for the prior-year period.