9GAG Has Reportedly Taken Control of Hong Kong-listed Howkingtech

Ray Chan, the co-founder of 9GAG, a popular meme-sharing and news site, is said to have taken charge of Howkingtech International as part of a plan to expand into AI, cryptocurrencies, and web3.

9GAG, a popular meme-sharing and news site, is reportedly planning to expand into AI, cryptocurrencies, and web3.

According to a report by The Standard, Hong Kong’s daily newspaper, the initiative began with the acquisition of Howkingtech, a Hong Kong-listed company, by a consortium led by 9GAG co-founder Ray Chan.

The purchase of the target company involves a maximum cash consideration of HK$79,649,599 (about $10.2 million), assuming all share options are exercised before the close of the offers, according to a regulatory filing with the Hong Kong Exchanges and Clearing Limited.

Following the news, Howkingtech’s shares on Hong Kong’s stock exchange surged 3.5%, according to Yahoo Finance data.

"We believe that now is the optimal time to leverage the transparent operating model of public companies to further improve market awareness and confidence in web3, aiming to create long-term value for shareholders. Our goal is to build the bridge between the new economy and traditional finance, supporting Hong Kong's development as an international virtual asset hub," said Chan.

While the regulatory filing doesn’t mention any specifics into crypto endeavors, Chan reportedly wants to rename Howtechfirm as "MemeStrategy" and explore investments in Bitcoin (BTC), web3 projects, and decentralized infrastructure.

An April 1 press release on PR Newswire also stated that MemeStrategy will incorporate Bitcoin and "other high-potential virtual assets into the company’s asset allocation to achieve long-term value growth."

Moreover, MemeStrategy plans to develop AI-powered products and services that cater to the creator economy, aiming to amplify the impact of content creators and foster a vibrant digital community.

The company's strategy aligns with Hong Kong's initiative to become a leading virtual asset hub. In September 2022, Hong Kong announced plans to legalize retail cryptocurrency trading and introduce a licensing regime for digital asset service providers.