The Agba Group/Triller Merger Is A Scheme to Temporarily Boost Agba’s Stock Price – Both Companies Are Practically Worthless/Bankrupt And It Likely Won’t Get Approved By Regulators Anyways

July 11, 2024

RESEARCH SUMMARY

  • On 4/18/24, Agba Group (AGBA) announced a merger with social media company Triller that they claim is worth $4B.
  • The $4B valuation is a made-up number that is far from reality. Before the merger announcement, Triller and AGBA were both failed, almost bankrupt, companies with little to no value.
  • In 2022, Triller projected $250M in revenues for 2023. Instead, it only reported $33.6M in revenue for the 9 months ended 9/30/23, lost $134M, and had over $170M in debt with almost zero cash. There have been no financial updates or guidance since then.
  • There is no logical business reason for AGBA and Triller to merge, they are in different sectors with zero synergies, and both have proven incompetent management.
  • Triller’s Co-Founder and CEO, Bobby Sarnevesht, is accustomed to scamming as he was convicted of Medicare fraud in 2016 for his consulting role at Bay Area Surgical Management.
  • Regulators recently decided that they don’t want TikTok owned by a Chinese company. So now Triller, a similar type of social media/streaming company to TikTok, is going to merge with AGBA, another Chinese company (Hong Kong is a part of China), and the US regulators will likely not allow it.
  • AGBA is a Hong Kong financial services company. Apparently, the entire company is going to relocate from Hong Kong to Los Angeles to work for Triller, in order to not be a China-based management anymore. There are many questions about this that are unanswered.
  • AGBA’s deal with predatory lender Yorkville has terrible terms for AGBA investors.
  • Agba’s bull case that Triller will take market share from TikTok doesn’t make sense. Only the Chinese owners of TikTok were banned, TikTok will remain in the US after the owner is changed.

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