Was just about to mention this. "The Company intends to invest up to US$2 million to develop the media and advertising business including building and developing products and services to monetise iClick’s China audience data."
The $2m invested is, like you said, to achieve the resales, and also to take advantage of the 780m users they now can access (by maybe redeveloping how their apps are monetized or their attraction to the Chinese market).
The Reseller agreement is obviously confidential, but here's hoping the profit from this $12.6m is quite good.
"we look forward to a series of fruitful and productive relationship with exciting new partners like Vigame.”
If we can land 2 or more deals like this, even a 50% profit margin will be worth it.
AB1 Price at posting:
9.3¢ Sentiment: Buy Disclosure: Held