Guardforce AI aquires Hong Kong-based MGAI

Guardforce AI (GFAI) has completed the acquisition of 100% of the issued share capital of MGAI, a Hong Kong-incorporated holding company. MGAI holds approximately 61.85% of the equity interest in Muyan Education, MGAI’s principal operating entity. Through this acquisition, Guardforce AI secured indirect majority control of Muyan Education. MGAI deal in AI-driven solutions for speech therapy and rehabilitation, offering an ecosystem that integrates proprietary AI-supported software, cloud-based SaaS tools, professional training systems, and integrated hardware solutions. To date, its mainland China subsidiary, Muyan Education, has served over 110,000 patients and maintains a registry of more than 20,000 rehabilitation specialists. To capture growth in this sector, MGAI is targeting a revenue trajectory under an agreed performance framework as follows: 2026: $0.5M; 2027: $1M; 2028: $1.5M. The transaction consideration consists of cash and restricted ordinary shares of Guardforce AI, with a total purchase price of $300K in cash and 5 million restricted ordinary shares. The shares are subject to performance-based vesting tied to revenue milestones through 2028.