Wind turbine maker China Ming Yang Wind Power has received an offer from its Chairman and Chief Executive Officer, Chuanwei Zhang to take the company private.
The preliminary non-binding proposal letter is to acquire all of the outstanding ordinary shares of the company not already beneficially owned by Zhang for US$2.51 per American Depository Share or ordinary share in cash. Zhang currently beneficially owns approximately 33% of the issued and outstanding ordinary shares of the company.
According to the proposal letter, Zhang intends to finance the transaction with a combination of debt and equity capital. A portion of the equity financing would be provided from Zhang’s existing shareholdings in the company and he expects the remainder of the financing to be provided by third party debt and equity financing sources and certain shareholders of the company.
The company’s Board of Directors will form a special committee which will consist of all independent directors to evaluate the offer.