RTTNews | Sep 28, 2020 06:10AM EDT

06:10 Monday, September 28, 2020 (RTTNews.com) - Chinese media company SINA Corp. (SINA) announced Monday that it has agreed yo a going private deal with New Wave Holdings Ltd., pursuant to which New Wave will acquire all of SINA's outstanding ordinary shares, not currently owned by it, in an all-cash transaction implying an equity value of the Company of approximately $2.59 billion for all the Ordinary Shares.

According to the deal, each Ordinary Share issued and outstanding immediately prior to the merger will be cancelled and cease to exist in exchange for the right to receive $43.30 in cash per Ordinary Share without interest.

However, the shares held by the Chairman, New Wave and any of their respective affiliates will be rolled over in the transaction.

The per share consideration represents a premium of approximately 18.1% to the closing price of the Company's Ordinary Shares on July 2, the last trading day prior to the receipt of the preliminary non-binding "going-private" proposal. It also represents an increase of approximately 5.6% over the $41 per Ordinary Share initially offered.

The Merger Consideration will be funded through a combination of certain committed term loan facilities obtained by New Wave from China Minsheng Banking Corp., Ltd. and cash contribution by the Chairman and New Wave.

The Company's board of directors have unanimously approved the deal and resolved to recommend that the Company's shareholders vote to authorize and approve the Merger Agreement and the Merger. The Merger is currently expected to close during the first quarter of 2021 and is subject to customary closing conditions.

Read the original article on RTTNews ( https://www.rttnews.com/3131748/sina-agrees-to-going-private-deal-with-new-wave-at-43-30-share-cash-quick-facts.aspx)

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2020 RTTNews.com All Rights Reserved