Healthcare AI Acquisition signs merger agreement with Leading Group Ltd.

Healthcare AI Acquisition, or HAIA, and Leading Group Limited, a licensed digital insurance broker operating in the Insurance Services segment in China as an Insurance Channel Specialist, have entered into a definitive business combination agreement where HAIA and Leading will enter a series of merger transactions resulting in Leading as the surviving entity of the combined entity. Upon consummation, the parties intend to list the combined company on Nasdaq. The combined company will continue to be led by Leading’s senior management team. Leading’s digital insurance brokerage license and integrated marketing services helps insurance carriers to target and acquire customers at greater scale. The transaction values Leading at approximately $430M.HAIA and Leading intend to raise an additional private placement financing of $50M. Upon closing of the proposed transaction, Leading’s shareholders will retain a majority of the outstanding shares of the combined company and Leading will designate a majority of the directors for the combined company board of directors. Leading expects to use the proceeds from the Proposed Transaction to accelerate the organic growth trajectory of the business in the China market. The transaction is expected to be completed in Q4, subject to, among other things, approval by the shareholders of Leading and HAIA, and the satisfaction of the other customary closing conditions, including the receipt of certain regulatory approvals.