China Mass Media Announces Receipt of "Going Private" Proposal
China Mass Media, 5/04/12
Chinese television advertising company China Mass Media (NYSE: CMM) has announced that its board of directors has received a non-binding proposal letter from Wang Shengcheng, the controlling shareholder of the company, pursuant to which Wang proposes to acquire (i) ADSs of the company held by the public investors for cash at not more than USD 5.00 per ADS; and (ii) options issued under the 2008 Equity Incentive Scheme of the company for cash at not more than USD 0.0167 per option.
China Mass Media has formed a special committee of the board of directors to consider the proposal and any potential alternative transactions involving the company. The special committee has retained Shearman & Sterling LLP as its legal counsel and is in the process of engaging a financial advisor to assist it in consideration of such matters. Dr. He Liping, Qu Jianmin, Dr. Liu Xingzhao and Chen Yong were designated as the members of the special committee. The board cautions the company's shareholders and others considering trading in its securities that no decision has been made by the special committee with respect to the company's response to the proposal. There can be no assurance that any definitive offer will be made, that any agreement will be executed or that this or any other transaction will be approved or consummated.
Keywords: financing He Liping Liu Xingzhao HR Chen Yong Qu Jianmin CMM television China Mass Media Wang Shengcheng TV advertising
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