Receive our newsletter – data, insights and analysis delivered to you
  1. News
January 18, 2016

Synutra CEO wants to go private 

Chinese infant formula maker Synutra has received a preliminary proposal from chairman and CEO Liang Zhang to take the company private by acquiring all outstanding stock for US$5.91 a share. 

Chinese infant formula maker Synutra has received a preliminary proposal from chairman and CEO Liang Zhang to take the company private by acquiring all outstanding stock for US$5.91 a share. 

The offer price from Zhang, made in association with an affiliated entity, represents a premium of approximately 63% to the closing price of the company’s shares on 13 January and a premium of approximately 30% to the volume-weighted average closing price during the last 20 trading days.

The move would be funded through a combination of equity capital and third party debt as well as a rollover equity in the company.

The board intends to form a special committee consisting of independent directors to consider this proposal, Synutra said in a statement. The board cautioned “no decisions have been made” and said the proposal was non-binding. “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,” the company said. 

Related Companies

Content from our partners
GMP: The food sector’s golden rules (and how they will evolve)
Cutting-edge innovation in fish packaging
Food fraud in the supply chain (and how to fix it)

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every other month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU