China Cord Blood Receives Going Private Proposal At $6.40 Per Share In Cash

(RTTNews) - China Cord Blood Corp. (CO), China's leading provider of cord blood collection, laboratory testing, hematopoietic stem cell processing and stem cell storage services, said its board of directors has received a non-binding proposal letter from Golden Meditech Holdings Limited to acquire all outstanding ordinary shares of the company not already directly or indirectly owned by Golden Meditech for $6.40 per ordinary share in cash.

According to the proposal letter dated April 27, the proposed transaction is intended to be financed with a combination of available cash resources of Golden Meditech and debt and equity capital.

In connection with the proposed transaction, Golden Meditech also intends to acquire all of the 7 percent senior convertible notes of the company.

The company expects that its board of directors will form a special committee of independent directors to consider the proposed transaction. It also expects that the Special Committee will retain advisors, including an independent financial advisor and legal counsel, to assist it in its work.

The stock, which closed up 6.2 percent on Friday at $7.22, fell 3.2 percent in pre-market activity.