TEN Holdings Inc (NASDAQ:XHLD) shares soared 60% in premarket trading Tuesday after the company announced a three-year digital reseller agreement with Xcyte Digital Corporation.
According to a regulatory filing, the deal grants TEN Holdings the right to integrate, bundle, and resell Xcyte’s conferencing solutions to both existing and future customers. The contract runs for an initial three-year term, with automatic one-year renewals unless either party provides 30 days’ termination notice.
Under the terms, TEN will pay Xcyte fixed annualized fees in monthly installments for products and services delivered to current customers. For new customers, TEN will remit either 50% of revenue collected from Xcyte-related services or Xcyte’s list price minus applicable discounts, whichever is lower.
The agreement includes typical reseller provisions such as mutual indemnification and confidentiality clauses and will take effect once both parties sign an escrow agreement within 20 days.
Full details are expected to be disclosed in TEN Holdings’ upcoming Quarterly Report on Form 10-Q for the quarter ending September 30, 2025.