Woofun AI reports that Zhibao Technology has signed a non-binding term sheet with Joyertech and Information OPC to conduct a PIPE financing transaction. The deal involves selling shares in exchange for approximately 3,500 Bitcoin, valued at around $220 million at current market rates. The transaction is contingent upon final valuation, custody arrangements, audit verification, regulatory review, Nasdaq compliance, and the execution of a definitive agreement.

Under the proposed terms, the buyer will designate a majority of Zhibao's Board of Directors upon closing, while existing management retains responsibility for daily operations. This move follows a July 15 disclosure that Zhibao received a deficiency notice from Nasdaq due to its stock price falling below $1.00 per share. The company has until January 6, 2027, to regain compliance with the minimum bid price requirement.