Benzinga | Mar 12, 2021 09:25AM EST

China Customer Relations Centers Goes Private At $6.50/Share

* Taiying Group Ltd and subsidiary Taiying International Inc inked an agreement to acquire a 71.1% stake in Chinese e-commerce and financial services business process outsourcing (BPO) service provider China Customer Relations Centers Inc (NASDAQ: CCRC) for $6.50 per share.

* The purchase price signifies a 37.7% premium to the November 27, 2020 closing price of $4.72 representing the last trading day before November 30, 2020, the date when the company announced the "going-private" proposal.

* This amount also represented an increase of 21% over the $5.37 per share initially offered by the buyer group in their initial "going-private" proposal on November 27, 2020.

* Taiying Group Ltd would be beneficially owned by a group of rollover shareholders, including CCRC CEO, Chairman and director Zhili Wang, CFO Debao Wang, director and VP Guoan Xu, Qingmao Zhang, Long Lin, Jishan Sun, and certain other shareholders.

* Taiying Group Ltd had entered into a debt commitment under which China Merchants Bank Co Ltd (OTC: CIHHF) (OTC: CIHKY) has agreed to provide a secured term facility for the merger.

* Price action: CCRC stock was higher by 11.9% at $6.29 in the pre-market session on the last check Friday.