Highpower International, Inc.a developer, manufacturer, and marketer of lithium and nickel-metal hydride (Ni-MH) rechargeable batteries, and a battery management systems and battery recycling provider, today announced that its board of directors (the "Board") has received a non-binding investment proposal letter from Anshan Co-Operation (Group) Co., Ltd. ("Anshan Co-Operation"), joined with Mr. George Pan, Chairman and CEO, and certain management of Highpower International, and China Innovative Capital Management Ltd.
Anshan Co-Operation (Group) Co., Ltd. ("Anshan Co-Operation"), proposes to purchase newly issued shares of Shenzhen Highpower Technology Co., Ltd., Springpower Technology (Shenzhen) Co., Ltd. and Icon Energy System (Shenzhen) Co., Ltd., the three subsidiaries in the People's Republic of China (the "PRC") wholly-owned by Highpower International, Inc. with not less than RMB650 million, or approximately US$101.7 million (based on an exchange rate of $6.39 as of November 26, 2015) based on the valuation of RMB280 million, or approximately US$43.8 million (based on an exchange rate of $6.39 as of November 26, 2015) for the three subsidiaries, in exchange for more than 50% of the equity of each of the three subsidiaries and become the controlling shareholder of each of the subsidiaries after the subscription.
The Company's Board of Directors has formed a special committee consisting of the following independent directors to consider this proposal: Ping Li, who will serve as chairman, Xin Hai Li and T. Joseph Fisher, III. The special committee intends to retain independent legal and financial advisors to assist it in this process. The Board cautions the Company's stockholders and others considering trading in its securities that the Board just received the non-binding proposal letter from Anshan Co-Operation and no decisions have been made with respect to the transaction. There can be no assurance that any definitive offer will be made, that any agreement will be executed or that this or any other transaction will be approved or consummated. The Company does not undertake any obligation to provide any updates with respect to this or any other transaction, except as required under applicable laws.
Source: Highpower International
Date: Nov 27, 2015