| DESCRIPTION OF BUSINESS | NOTE 1 — DESCRIPTION OF BUSINESS Overview MICT Inc., ("we", or the "Company")
was formed as a Delaware corporation on January 31, 2002. On March 14, 2013, the Company changed its corporate name from Lapis Technologies,
Inc. to MICT Inc Technologies, Inc. On July 13, 2018, following the sale of its former subsidiary Enertec Systems Ltd., the Company changed
the Company name from Mict Inc Technologies, Inc. to MICT, Inc. Our shares of common stock have been listed on The Nasdaq Capital Market,
or Nasdaq, since April 29, 2013. Prior to the Merger, we operated primarily through
our Israel-based subsidiary, Micronet. Micronet operates in the commercial MRM market. Micronet, through both its Israeli and U.S. operational
offices, is a developer, manufacturer and a global provider of mobile computing platforms, designed for integration into fleet management
and mobile workforce management solutions. The products and solutions designed, developed and manufactured by Micronet include rugged
mobile computing devices (tablets and on-board-computers) that provide fleet operators and field workforces with computing solutions
for challenging work environments, such as extreme temperatures, repeated vibrations or dirty and wet or dusty conditions. In 2020, Micronet entered into the video analytics
device market by launching its innovating smart camera all in-one video telematics device known as Micronet SmartCam, which incorporates
and is powered by third party video analytics software applications. Micronet SmartCam is based on the powerful and flexible Android
platform, and is intended to be a ruggedized, integrated, and ready-to-go smart camera supporting complete telematics features designed
for in-vehicle use. Coupled with vehicle-connected interfaces, state of the art diagnostic capabilities, and two smart cameras, it offers
video analytics and telematics services capabilities, addressing safety and tracking needs of commercial fleets. MICT believes that Micronet
SmartCam provides a versatile, advanced, and affordable mobile computing platform for a variety of fleet management and video analytics
solutions. The platform, coupled with the Android operating system, allows its customers to run their applications or pick and choose
a set of applications and services from the Micronet marketplace. Micronet's customers consist primarily of solution providers
specializing in the MRM market and potentially Original Equipment Manufacturer ("OEM") truck and vehicle manufacturers including
as part of the aftermarket sales. These companies sell Micronet's products as part of their MRM systems and solutions. Currently,
Micronet does not sell directly to end users. Micronet products are used by customers operating vehicle fleets around the world with
primary markets in North America and Europe. In July 2020, we completed
the acquisition of Intermediate pursuant to the Merger Agreement. Intermediate believes it is well positioned to establish itself,
through its operating subsidiaries, as a financial technology company with significant focus on the China market and in other areas
of the world. Intermediate, through its operating
subsidiaries, seeks to service Chinese and other global investors and customers by offering services in stock brokerage and wealth
management, oil and gas trading, and insurance brokerage. Intermediate has been in the process of building various platforms for
business opportunities in various verticals and technology segments it can capitalize on, and it will continue to add to the capabilities
of such platforms through acquisitions or licensing of technologies to support these efforts in the different market segments as
more fully described below. By building secure, reliable and scalable platforms with high volume processing capability, Intermediate
believes it is able to provide customized solutions that address the needs of a very diverse client base. Intermediate through its operating subsidiaries,
seeks to secure material contracts in valuable market segments in China and develop market opportunities, which will allow Intermediate
to access and grow its business in the market segments of stock trading and wealth management, oil and gas trading, and insurance
brokerage through its operating subsidiaries. Impact of COVID-19 The ongoing COVID-19 pandemic disrupted business operations of many companies,
in China and elsewhere. We have taken a series of measures in response to the outbreak to protect our employees, including, among others,
temporary closure of some offices, remote working arrangements for our employees and travel restrictions or suspension. The Company's
operations as of December 31, 2020 have not been significantly affected, but may be affected in the future. The future impact which may
be caused by the outbreak is uncertain; however, it may result in a material adverse impact on the Company's financial position,
operations and cash flows especially if there is a disruption to the Company's labor workforce. Significant transactions
during the period: As of December 31, 2018, the Company held
49.89% of Micronet's issued and outstanding shares, and together with an irrevocable proxy in our benefit from Mr. David
Lucatz, the Company's former President and Chief Executive Officer, we held 50.07% of the voting interest in Micronet as
of such date. On February 24, 2019, Micronet closed a public equity offering on the Tel Aviv Stock Exchange (the " TASE On June 10, 2020, MICT Telematics Ltd, subsidiary
of the company, purchased 5,999,996 of Micronet's ordinary shares for aggregate proceeds of NIS 1,800,000 (or $515,000) through
tender offer and increased the ownership interest in Micronet to 45.53% of Micronet's issued and outstanding ordinary shares. Subsequently, on June 23, 2020 the Company purchased
through public offering 10,334,000 of Micronet's ordinary shares for total consideration of NIS 3,100,200 (or $887,000),
and increased the ownership interest in Micronet to 53.39% of Micronet's outstanding ordinary shares. On October 11, 2020, Micronet has
consummated a public equity offering on the Tel Aviv Stock Exchange (the "TASE") , in which the Company purchased 520,600
of Micronet's ordinary shares and 416,480 of Micronet's stock options convertible into 416,480 Micronet ordinary shares (at
a conversion price of NIS 3.5 per share), for total consideration of NIS 4,961,202 (or $1,417,486). Following the Micronet's offering,
the purchase of shares, the exercise of our stock options and additional purchase of 115,851 Micronet shares from a individual seller.
Following the Micronet's offering, the purchase of share and the exercise of our stock options, our ownership interest in Micronet
was diluted from 53.39% to 50.31% of the Micronet outstanding share capital. Acquisition Agreement with BNN Technology PLC On December 18, 2018, we, Global Fintech Holdings
Ltd., a British Virgin Islands corporation, or GFH, GFH Merger Subsidiary, Inc., a Delaware corporation and a wholly-owned subsidiary
of GFH, or Merger Sub, BNN, Brookfield Interactive (Hong Kong) Limited, a Hong Kong company and a subsidiary of BNN, or BI China,
ParagonEx LTD, a British Virgin Islands company, or ParagonEx, certain holders of ParagonEx's outstanding ordinary shares
and a trustee thereof, and Mark Gershinson, in the capacity as the representative of the ParagonEx sellers, entered into an Acquisition
Agreement, or the Acquisition Agreement, pursuant to which, among other things, subject to the satisfaction or waiver of the conditions
set forth in the Acquisition Agreement, Merger Sub would merge with and into the Company, as a result of which each outstanding
share of the Company's common stock and warrant to purchase the same would be cancelled in exchange for the right of the
holders thereof to receive 0.93 substantially equivalent securities of GFH, after which GFH would acquire (i) all of the issued
and outstanding securities of BI China in exchange for newly issued ordinary shares of GFH and (ii) all of the issued and outstanding
ordinary shares of ParagonEx for a combination of cash in the amount equal to approximately $25 million (the majority of which
was raised in a private placement by GFH), unsecured promissory notes and newly issued ordinary shares of GFH, or collectively,
the Transactions. In furtherance of the Transactions, and upon the
terms and subject to the conditions described in the Acquisition Agreement, BNN agreed to commence a tender offer, or the Offer,
as promptly as practicable and no event later than 15 business days after the execution of the Acquisition Agreement, to purchase
up to approximately 20% of the outstanding shares of the Company's common stock at a price per share of $1.65, net to the
sellers in cash, without interest, or the Offer Price. On March 13, 2019. the deadline for the Offer was extended to April 8, 2019.
Additionally, following the Transactions, it was contemplated that the certain of the Company's operating business assets,
including company's interest in Micronet, would be spun off to company's stockholders who continue to retain shares
of company's common stock after the Offer. Subject to the terms and conditions of the Acquisition Agreement, and assuming
that none of the shares of company's common stock are purchased by BNN in connection with the Offer, company's stockholders
would own approximately 5.27% of GFH after giving effect to the transactions contemplated by the Acquisition Agreement. On May 31, 2019, we terminated the spin-off of
Micronet and in June 2019, the Offer was terminated. Effective November 7, 2019, we, BNN, BI China and ParagonEx (the "Parties")
entered into a mutual Termination Agreement (the "Termination Agreement"), pursuant to which the parties agreed to
terminate the 2018 Acquisition Agreement, effective immediately. Merger Agreement with GFH On November 7, 2019, company's, GFH Intermediate
Holdings Ltd., a British Virgin Islands company ("Intermediate") that is wholly owned by GFH entered into, and MICT
Merger Subsidiary Inc., a to-be-formed British Virgin Islands company and a wholly owned subsidiary of MICT ("Merger Sub"),
shall upon execution of a joinder enter into, an Agreement and Plan of Merger (the "Merger Agreement"), pursuant to
which, among other things, subject to the satisfaction or waiver of the conditions set forth in the Merger Agreement, Merger Sub
will merge with and into Intermediate, with Intermediate continuing as the surviving entity, and each outstanding share of Intermediate's
common stock shall be cancelled in exchange for the right of the holders thereof to receive a substantially equivalent security
of MICT (collectively, the "Acquisition"). GFH will receive an aggregate of 109,946,914 shares of MICT common stock
as merger consideration in the Acquisition. Concurrent with the execution of the Merger Agreement,
Intermediate entered into (i) a share exchange agreement with Beijing Brookfield Interactive Science & Technology Co.
Ltd., an enterprise formed under the laws of the Peoples Republic of China ("Beijing Brookfield"), pursuant to which
Intermediate will acquire all of the issued and outstanding ordinary shares and other equity interest of Beijing Brookfield from
the shareholders of Beijing Brookfield in exchange for 16,310,759 newly issued shares of GFH and (ii) a share exchange agreement
with ParagonEx, shareholders of ParagoneEx specified therein (the "ParagonEx Sellers") and Mark Gershinson, pursuant
to which, the ParagonEx Sellers will transfer to Intermediate all of the issued and outstanding securities of ParagonEx in exchange
for Intermediate's payment and delivery of $10.0 million in cash, which is to be paid upon the closing of the Acquisition,
and 75,132,504 newly issued shares of GFH deliverable at the closing of the share exchange. After giving effect to the Acquisition, the conversion
of the Convertible Debentures (as defined below) and the conversion or exercise of the securities issued by MICT pursuant to the Offering
of Series A Convertible Preferred Stock and Warrants and the Offering of Convertible Note and Warrants, each as further below, it was
expected that MICT will have approximately $15.0 million of cash as well as ownership of ParagonEx and Beijing Brookfield and that MICT's
current stockholders will own approximately 11,089,532 shares, or 7.64%, of the 145,130,577 shares of MICT common stock outstanding. Consummation of the transactions contemplated
by the Merger Agreement was subject to certain closing conditions, including, among other things, approval by the stockholders of MICT
and receipt of a fairness opinion indicating that the transactions contemplated by the Merger Agreement are fair to the stockholders
of MICT. The Merger Agreement contains certain termination rights for the Company and Intermediate. The Merger Agreement also contains
customary representations, warranties and covenants made by, among others, MICT, Intermediate and Merger Sub, including as to the conduct
of their respective businesses (as applicable) between the date of signing the Merger Agreement and the closing of the transactions contemplated
thereby. The Merger Agreement provides that all options
to purchase shares of the Company's common stock that are outstanding and unexercised shall be accelerated in full effective
as of immediately prior to the effective time of the Acquisition. The options shall survive the closing of the Acquisition for
a period of 15 months from the date of the closing of the Acquisition and all equity incentive plans of the Company shall remain
in effect. Consummation of the Merger Agreement is subject
to various conditions, including the following mutual conditions of the parties unless waived: (i) the approval of the Merger Agreement
by the requisite vote of MICT's stockholders; (ii) expiration of the applicable waiting period under any antitrust laws,
including the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended; (iii) receipt of requisite regulatory approval,
(iv) receipt of required consents and provision of required notices to third parties, (v) no law or order preventing or prohibiting
the Merger or the other transactions contemplated by the Merger Agreement or the Closing; (vi) no restraining order or injunction
preventing the Merger or the other transactions contemplated by the Merger Agreement; (vii) appointment or election of the members
of the post-Closing MICT board of directors as agreed, and (viii) the filing of the definitive proxy statement with the SEC. In addition, prior to the consummation of the
Merger, if the Merger Agreement is terminated after the closing of the Beijing Brookfield Acquisition or the ParagonEx Acquisition,
as the case may be, or if the Merger does not close by the outside date set forth in the Merger Agreement, the transactions contemplated
by the Beijing Brookfield Share Exchange Agreement and the ParagonEx Share Exchange Agreement, may be unwound. In the event of
an unwinding of such acquisitions, GFH will return the Beijing Brookfield shares to BI Interactive and the ParagonEx shares to
the Paragon Ex Sellers and in turn BI Interactive and the ParagonEx Sellers will return the shares of Global Fintech received in
the applicable share exchange. Voting Agreement " On April 15, 2020, the Company, Intermediate,
and Global Fintech Holding Ltd., a British Virgin Islands company and the sole shareholder of Intermediate ("GFH"),
entered into, and Merger Sub shall, upon execution of a joinder agreement enter into, an Amended and Restated Agreement and Plan
of Merger (the "Restated Merger Agreement") pursuant to which, among other things, subject to the satisfaction or waiver
of the conditions set forth in the Restated Merger Agreement, Merger Sub shall merge with and into Intermediate, with Intermediate
continuing as the surviving entity, and each outstanding share of Intermediate shall be cancelled in exchange for the right of
the holder thereof to receive a convertible promissory note in the principal amount of approximately $25,000,000 (the "Consideration
Note"), which shall be convertible into shares of common stock of MICT as described therein (collectively, the "Acquisition").
The Consideration Note shall be issued at the closing of the Acquisition and shall be, under certain circumstances, automatically
convertible into approximately $25,000,000 of shares of common stock of MICT, at a conversion price of $1.10 per share. The Restated
Merger Agreement amends and restates the Original Agreement in its entirety. In July 2020, we completed the acquisition of
Intermediate pursuant to the Merger Agreement. Intermediate is a financial technology company with a marketplace in China and in
other areas of the world. Intermediate is in the process of building various platforms for business opportunities in various verticals
and technology segments it can capitalize on, and it plans to continue to add the capabilities of such platforms through acquisition
or license of technologies to support these efforts in the different market segments as more fully described below. By building
secure, reliable and scalable platforms with high volume processing capability, Intermediate believes it is able to provide customized
solutions that address the needs of a very diverse client base, each outstanding share of Intermediate was cancelled in exchange
for a convertible promissory note in the principal amount of $25,000,000, which Convertible Note were converted into 22,727,273
shares of common stock of MICT at a conversion price of $1.10 per share,. Intermediate's management is seeking to
secure material contracts in market segments in China, which will allow Intermediate to access the following market segments: stock trading,
oil and gas trading, insurance brokerage and recyclable metal trading through its operating subsidiaries. Convertible Notes On April 21, 2020, MICT, Inc. entered into a series
of note purchase agreements with certain investors identified therein pursuant to which, among other things, the Purchasers purchased
on July 1, 2020 certain convertible notes with an aggregate principal amount of approximately $11.0 million. On July 8, 2020, the
Company entered into an additional series of purchase agreements with certain other purchaser pursuant to which such purchasers
purchased from the Company at such date convertible notes with an aggregate principal amount of approximately $4.0 million. Accordingly,
at total, pursuant to the above, the Company has sold convertible notes with an aggregate principal amount of approximately $15.0
million. The Convertible Notes included terms allowing
for a conversion into shares of common stock of the Company at a conversion price of $1.10 per share. The Convertible Notes are
generally due two years from the date of issuance, except that certain convertible notes will be due five years from the date of
issuance. The Company is obligated to pay interest to the Purchasers on the outstanding principal amount at the rate of 1.0% per
annum, payable on each conversion date, in cash or, at the Company's option, in shares of common stock. Subject to approval
of the Company's stockholders, the Convertible Notes shall be convertible into shares of common stock. Upon the occurrence
of certain events, the Purchasers are permitted to require the Company to redeem the Convertible Notes, including any interest
that has accrued thereunder, for cash. As of the date hereof and based on the terms included in the convertible notes, following
receipt of the Company's stockholders, the Convertible Notes were converted into shares of common stock of the Company at
a conversion price of $1.10 per share as set above. The convertible notes converted
automatically to shares of the company on July 01 ,2020 according to the restated merger agreement terms. because the effective
conversion price was lower than the market price on the commitment date the company recorded finance expense sum up to 8,877$
Thousands , which related to beneficial conversion feature. Offering of Series A Convertible Preferred
Stock and Warrants On June 4, 2019, we entered into a Securities
Purchase Agreement (the "Preferred Securities Purchase Agreement") with the purchasers named therein (the "Preferred
Purchasers") subject to approval by the Nasdaq Stock Market for as to the eligibility of the transaction, pursuant to which
we agreed to sell 3,181,818 shares of newly designated Series A Convertible Preferred Stock with a stated value of $2.20 per share
(the "Preferred Stock"). The Preferred Stock, which shall be convertible into up to 6,363,636 shares of the Company's
common stock, par value $0.001 per share (the "Common Stock"), shall be sold together with certain Common Stock purchase
warrants (the "Preferred Warrants") to purchase up to 4,772,727 shares of Common Stock (representing 75% of the aggregate
number of shares of Common Stock into which the Preferred Stock shall be convertible), for aggregate gross proceeds of $7 million
to us (the "Preferred Offering"). The terms of the Preferred Securities Purchase Agreement were approved by Nasdaq
Stock Market on July 31, 2019 and as a result the Company issued the preferred stock along with the warrants. The Preferred Stock shall be convertible into
Common Stock at the option of each holder of Preferred Stock at any time and from time to time at a conversion price of $1.10 per
share, and shall also convert automatically upon the occurrence of certain events, including the completion by us of a fundamental
transaction. Commencing on March 31, 2020, cumulative cash dividends shall become payable on the Preferred Stock at the rate per
share of 7% per annum, which rate shall increase to 14% per annum on June 30, 2020. We shall also have the option to redeem some
or all of the Preferred Stock, at any time and from time to time, beginning on December 31, 2020. The holders of Preferred Stock
shall vote together with the holders of Common Stock as a single class on as-converted basis, and the holders of Preferred Stock
holding a majority-in-interest of the Preferred Stock shall be entitled to appoint an independent director to the Company's
board of directors (the "Preferred Director"). The Preferred Securities Purchase Agreement provides for customary registration
rights. The Preferred Warrants shall have an exercise
price of $1.01 (subject to customary adjustment in the event of future stock dividends, splits and the like), which is above the
average price of the Common Stock during the preceding five trading days of entry into the Preferred Securities Purchase Agreement,
and shall be exercisable immediately, until the earlier of (i) two years from the date of issuance or (ii) the later of (a) 180
days after the closing by the Company of a change of control transaction, or (b) the Company's next debt or equity financing
of at least $20 million. On September 8, 2020, the Company and all of the
holders of the Company's Series A Convertible Preferred Stock, par value $0.001 per share, entered into a series A Convertible
Preferred Stock Exchange Agreements (each an Exchange Agreement and together, the "Exchange Agreements"), pursuant
to which the Holders exchanged an aggregate of 3,181,818 shares of the Series A Preferred, on a 1-for-2 basis, for an aggregate
of 6,363,636 shares of the Company's common stock, par value $0.001 per share. Offering of Convertible Note and Warrants On June 4, 2019, we entered into a Securities
Purchase Agreement (the "Note Purchase Agreement") with BNN subject to approval by the Nasdaq Stock Market for as to
the eligibility of the transaction, pursuant to which BNN agreed to purchase from us $2 million of convertible notes, which subscription
amount shall be subject to increase by up to an additional $1 million as determined by BNN and us (collectively, the "Convertible
Notes"). The Convertible Notes, which shall be convertible into up to 2,727,272 shares of Common Stock (using the applicable
conversion ratio of $1.10 per share), shall be sold together with certain Common Stock purchase warrants (the "Note Warrants")
to purchase up to 2,727,272 shares of Common Stock (representing 100% of the aggregate number of shares of Common Stock into which
the Convertible Notes are convertible) (the "Convertible Note Offering"). The Convertible Notes shall have a duration
of two (2) years. The Convertible Notes shall be convertible into
Common Stock at the option of the Note Purchaser at any time and from time to time, and upon the issuance of one or more Convertible
Notes. Darren Mercer, the Chief Executive Officer of BNN, was appointed to the Company's board of directors (the "Note
Director"). The Note Purchase Agreement provides for customary registration rights. The terms of the note purchase agreement
were approved by Nasdaq Stock Market on July 31, 2019 and as a result the Company issued the convertible notes along with the warrants. The Note Warrants shall have an exercise price
of $1.01 (subject to customary adjustment in the event of future stock dividends, splits and the like), and shall be exercisable
immediately upon receipt of stockholder approval of the Convertible Note Offering, until the earlier of (i) two years from the
date of issuance or (ii) the later of (a) 180 days after the closing by the Company of a change of control transaction, or (b)
the Company's next debt or equity financing of at least $20 million. In accordance with ASC 470 "Debt",
the Company analyzed the Note Purchase Agreement and the Preferred Securities Purchase Agreement (as described above) as combined
transaction, as both agreements were signed simultaneously with an overall objective and as a result allocated the total proceeds
between convertible notes, the warrants and Series A Convertible Preferred Stock based on their relative fair value at the closing
date. The Company analyzed the warrants issued, the convertible conversation feature and Series A Convertible Preferred Stock and
concluded that they meet the definition of an equity instrument. On January 21, 2020, we entered into a Conversion
Agreement with BNN, pursuant to which BNN agreed to convert the outstanding convertible note, issued on July 31, 2019, into
1,818,181 shares of the Company's newly-designated Series B Preferred Stock, par value $0.001 per share, with a stated value
of $1.10 per share (the "Series B Preferred") (collectively, the "Conversion"). In accordance with the
Conversion, the Company filed a Certificate of Designation of Preferences, Rights and Limitations of Series B Preferred with the
Secretary of State of the State of Delaware on January 21, 2020 to designate the rights and preferences of up to 1,818,181 shares
of Series B Preferred. On September 10, 2020, the Company and the holder
of the Company's Series B Convertible Preferred Stock, with a par value of $0.001 per share , entered into that certain Series
B Convertible Preferred Stock Exchange Agreement, pursuant to which the Holder exchanged an aggregate of 1,818,181 shares of the
Series B Preferred, on a 1-for-1 basis, for an aggregate of 1,818,181 shares of the Company's common stock, par value $0.001
per share. Offering of Secured Convertible Debentures On November 7, 2019, the Company entered into
a Securities Purchase, with certain investors, pursuant to which, among other things, the Primary Purchasers agreed, subject to
the satisfaction or waiver of the conditions set forth in the Primary Purchase Agreement, to purchase from us 5% senior secured
convertible debentures due during 2020 with an aggregate principal amount of approximately $15,900,000. The proceeds of $15,900,000
from the sale of the Primary Convertible Debentures were funded on January 21, 2020. Concurrently with entry into the Primary Purchase
Agreement, the Company entered into a separate Securities Purchase Agreement and, together with the Primary Purchase Agreement,
the Purchase Agreements, with certain investors, and, together with the Primary Purchasers, the, pursuant to which, among
other things, the Non-Primary Purchasers agreed, subject to the satisfaction or waiver of the conditions set forth in the Non-Primary
Purchase Agreement, to purchase from us 5% senior secured convertible debentures due during, and, together with the Primary Convertible
Debentures, the, with an aggregate principal amount of $9,000,000, together with the Primary Convertible Debenture Offering, the. The Convertible Debentures were convertible into our shares of our common stock at a conversion price of $1.41 per share. The
Primary Purchasers exercised their right to an optional redemption pursuant to Section 6(b) of each Primary Convertible Debenture
and declared the occurrence and continuance of an event of default, each of which accelerated the Company's obligation to
repay all outstanding balances under the Primary Convertible Debentures. On March 16, 2020, the Outstanding Principle was transferred
from the Company to the Purchasers. As a result, the Primary Purchase Agreement was terminated. On November 2, 2020, the Company entered into a Securities Purchase
Agreement (the "Purchase Agreement") with certain investors (the "Investors") for the purpose of raising $25.0
million in gross proceeds for the Company (the "Offering"). Pursuant to the terms of the Purchase Agreement, the Company
sold in a registered direct offering, an aggregate of 10,000,000 units (each, a "Unit"), with each Unit consisting of one
share of the Company's common stock, par value $0.001 per share (the "Common Stock"), and one warrant to purchase 0.8
of one share of Common Stock (each, a "Warrant"). at a purchase price of $2.50 per Unit. The Warrants are exercisable six
months after the date of issuance at an exercise price of $3.12 per share and will expire five years following the date the Warrants
become exercisable. The closing of the sale of Units pursuant to the Securities Purchase Agreement occurred on November 4, 2020.
By December 31, 2020, the Company had received a total of $22.325 million in gross proceeds pursuant to Offering and issued in the aggregate,
7,600,000 Units. The company issued the remaining 6 Million dollar in consideration of 2.675 Million dollar in cash and 3.325 Million
dollar in consideration for service rendered by underwriter and others. the Company issued the remaining 2,400,000 units on March 01,
2021. A.G.P./Alliance
Global Partners acted as the exclusive placement agent (the "Placement Agent") for the Company, on a "reasonable best
efforts" basis, in connection with the Offering. Pursuant to that certain Placement Agency Agreement, dated as of November 2, 2020,
by and between the Company and the Placement Agent (the "Placement Agency Agreement"), the Placement Agent will be entitled
to a cash fee equal to 7.0% of the gross proceeds from the placement of the total amount of Units sold by the Placement Agent and 3.5%
of the gross proceeds from the placement of the total amount of Units sold in the offering, plus a non-accountable expense allowance
in an amount equal to 1% of the aggregate gross proceeds of the Offering. Acquisition Agreement with Huapei Global Securities
Limited MICT, Inc previously announced on October 2, 2020
that its indirect wholly-owned subsidiary BI Intermediate (Hong Kong) Limited ("BI Intermediate") has entered a strategic
agreement ("Strategic Agreement") to acquire, for a total purchase price of U.S.$3.0 million, 9% of a Huapei Global
Securities Limited ("Huapei"), Hong Kong based securities and investments firm. The Strategic Agreement provided that
the remaining 91% of Huapei would be purchased by BI Intermediate upon approval from the Hong Kong Securities and Futures Commission
(SFC), the principal regulator of Hong Kong's securities and futures markets. On November 11, 2020, BI Intermediate closed on its
acquisition of the first 9% of its acquisition and paid 9% of the purchase price. Additionally, on November 11, 2020, upon the
initial closing, BI Intermediate made a loan to Huapei in an amount equivalent to the remaining 91% of the purchase price. Upon
the closing of the remaining 91%, which remains subject to SFC approval, the loan will be cancelled, and BI Intermediate will acquire
the remaining 91% of Huapei. If the Strategic Agreement is terminated or the closing of the remaining 91% does not occur within
24 months, Huapei will repay the loan to BI Intermediate. The loan is secured against the 91% of the share capital of Huapei not
owned by BI Intermediate. The obligations of Huapei Global Capital Limited, the seller of the interests of Huapei, under the loan
agreement have been guaranteed b |
