Fushi Copperweld – FSIN – Enters Into Definitive Merger Agreement to Be Acquired
Fushi Copperweld, Inc. (Nasdaq: FSIN) announced that it has entered into an Agreement and Plan of Merger with entities affiliated with its Chairman and Co-Chief Executive Officer, Mr. Li Fu, and Abax Global Capital (Hong Kong) Limited, at a price of $9.50 per share in cash.
Under the terms of the Merger Agreement, each share of the FSIN ‘s common stock that is issued and outstanding immediately prior to the effective time of the merger will be converted into the right to receive $9.50 in cash without interest, except for shares owned by Mr. Fu, Abax and their respective affiliates, who currently beneficially own an aggregate of approximately 29.4% of the FSIN ‘s outstanding shares.
The Company’s Board of Directors, acting upon the unanimous recommendation of the Special Committee of the Board of Directors, which is comprised solely of independent and disinterested directors, approved and adopted the Merger Agreement and recommends that the Company’s shareholders vote to approve the Merger Agreement.
There is no financing condition to completion of the merger. Mr. Fu and Abax have secured fully committed debt financing from China Development Bank Corporation, Hong Kong Branch, to finance the transaction.
Jack Perkowski, Chairman of the Special Committee, said, “The Special Committee undertook an extremely thorough and comprehensive review of the offer presented by Mr. Fu and Abax to ensure that the interests of all Fushi shareholders not participating in the buyout proposal were best served. With the assistance of independent financial and legal advisors, we established the credibility of the offer, including the availability of committed debt financing from China Development Bank Corporation Hong Kong Branch. We unanimously determined that this transaction provides all disinterested shareholders with an immediate and substantial cash premium for their investment in Fushi.”
Mr. Li Fu, Chairman and Co-Chief Executive Officer of Fushi, said, “I want to thank the Special Committee for taking the time to thoroughly review and evaluate our offer and our shareholders for their patience and understanding throughout this process. Fushi’s success is driven by the ongoing efforts of our talented employees, and I am also deeply appreciative for their tireless work and dedication to our customers and Fushi’s continued success.”
Donald Yang, Managing Partner at Abax, said, “We are pleased that the Special Committee has accepted our going private proposal and wish to thank each of the Special Committee’s members for their diligent efforts.”
About Fushi Copperweld – FSIN
Fushi Copperweld, Inc., (FSIN) through its wholly owned subsidiaries, Fushi International (Dalian) Bimetallic Cable Co. Ltd., and Copperweld Bimetallics LLC, is the leading manufacturer and innovator of copper-clad bimetallic engineered conductor products for electrical, telecommunications, transportation, utilities and industrial applications.
More Posts by this author
- Bristol-Myers Squibb to Acquire Amylin Pharmaceuticals (BMY, AMLN)
- Gold Crosses $1600 an ounce Level as EU Summit Cheer up Global Markets
- American Greetings Q1 Earnings Fall (AM)
- Stocks End Q2 on a Strong Note as EU Deal Lifts Sentiments
- Gold Prices Rally on EU Deal; Silver Prices also Surge
- Stocks Continue to Surge
- U.S. Stocks Continue to Rally on EU Confidence Boosting Measures
 |
Post Written By: Ed Liston
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.
|
