From Investing.com:

A consortium led by Dazheng Group Acquisition Limited has reasserted its plan to acquire Hollysys Automation Technologies Ltd. Their proposal offers shareholders $29.50 per share, an 11.3% premium over the competing bid from Ascendent Capital. The consortium has secured $1.05 billion in debt and $800 million in equity commitments to ensure a successful closing.

Negotiations between Hollysys and the consortium began on January 28, 2024, and the Special Committee has acknowledged their proposal. The consortium believes that their offer is superior to Ascendent’s bid and is urging shareholders to vote against the Ascendent transaction at the EGM scheduled for February 8, 2024.

Proxy advisors ISS and Glass Lewis have recommended that shareholders vote against the Ascendent transaction. The consortium emphasizes that rejecting the deal would not incur a termination fee for Hollysys and is urging shareholders to vote against it, as it would be in their best interest.

The consortium has advised shareholders not to vote for the Ascendent transaction to preserve their dissenting and appraisal rights under the British Virgin Islands Business Companies Act. They have also noted the lack of information on these rights in Hollysys’s proxy statement.

The news is based on a press release from Dazheng Group Acquisition Limited.



Read more: Dazheng Group persists in Hollysys takeover bid at $29.50 per share By Investing.com