Apr. 10, 2012 (China Knowledge) - Zhejang Daily Media Group Co Ltd<600633>, a state-controlled media company based in Zhejiang
Province and formerly known as Shanghai
Whitecat Shareholding Co Ltd, has announced plans to acquire two units from Shanda Interactive Entertainment Ltd that delisted from the Nasdaq earlier this year.
According to the plans, the Shanghai-listed
buyer will acquire Hangzhou
Bianfeng Network Technology, a casual game firm, and Shanghai
Haofang, a developer of online game platforms, from Shanda. The two target companies are valued at RMB 3.49 billion in total.
RMB 2.5 billion of the total consideration will be raised via a private placement. In the offer, the buyer will issue not more than 180 million shares to ten selected investors for RMB 14.1 apiece, less than the issuer's closing price of RMB 16.49 on Mar. 5.
The issuer's parent co Zhejiang
Daily Media Holding Group Ltd has promised to subscribe not less than 10% of the to-be-issued shares.
The two target firms Bianfen and Haofang earned RMB 140 million and RMB 15.39 million in net profit, respectively, last year.