Hartcourt Companies (fka HRCT)

[Irons3]

I'm looking forward to finding out if the China Princely deal still stands. And if not, what is its new incarnation?


Hartcourt Announces Signing Definitive Agreement to Acquire 100% Equity Interest in China Princely Education Technology Development Company Limited
Friday December 29, 6:30 am ET


SHANGHAI, CHINA--(MARKET WIRE)--Dec 29, 2006 -- The Hartcourt Companies, Inc. (OTC BB:HRCT.OB - News) (Frankfurt:900009.F - News) (the "Company") today announced that it has signed a definitive agreement to acquire 100% equity interest in China Princely Education Technology Development Company Limited ("China Princely").
The transaction is expected to be completed in March 2007 subject to certain preconditions being satisfied, including the receipt of all necessary governmental approvals.

The total consideration to be paid by the Company for the acquisition is US$308 thousand (RMB2.4 million) cash and 5.4 million shares of the Company's restricted common stock, both are payable upon acquisition completion. Mr. Haisheng Zhou, current shareholder of China Princely, has guaranteed its net profit not less than RMB2 million (US$256 thousand) for the year 2007, while the Company guaranteed the average 3-day closing price of its shares prior to one-year anniversary of the issuing date of consideration shares not less than US$0.50 per share.