Alliance Global Group Inc (AGI) had purchased Touch Solutions. The acquisition by Andrew Tan's AGI was done to facilitate the backdoor listing of Emperador Distillers Inc, its liquor unit. A backdoor listing is also known as a reverse IPO or reverse takeover. This happens when a private company that does not qualify for an IPO instead buys a publicly-traded firm. A back door listing would allow the privately-held company to avoid issuing an IPO, but would still be able to trade on the stock exchange.
In a filing to the stock exchange, AGI disclosed that together with its other shareholders, it would be buying up to 15 billion shares of Touch Solutions. The latter would be issuing the shares from the proposed increase of its capital stock. AGI said, "As part of the transaction, Alliance Global will transfer, and TSI will receive, shares of Emperador Distillers."
Touch Solutions also confirmed the deal. Tan's new management team would be taking over its board of directors. Tan would serve as the Chairman of Touch Solutions while Winston Co would be President.
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