Chinese JA Solar Holdings Co., Ltd. has entered into a definitive agreement and plan of merger with JASO Holdings Limited (»Holdco«), JASO Parent Limited (»Parent«), a wholly owned subsidiary of Holdco, and JASO Acquisition Limited (»Merger Sub«), a wholly owned subsidiary of Parent, pursuant to which the company will be acquired by an investor consortium in an all-cash transaction implying an equity value of the company of approximately $362.1 million. At the effective time of the merger, each ordinary share of the company will be cancelled and cease to exist in exchange for the right to receive $1.51 in cash without interest, and each American depositary share (ADS) of the company, representing 5 shares, will be cancelled in exchange for the right to receive $7.55 in cash without interest.
The buyer group comprises Baofang Jin, chairman and chief executive officer of the company, Jinglong, a British Virgin Islands company of which Baofang Jin is the sole director, and other shareholders. The merger is expected to close during the first quarter of 2018. If completed, the merger will result in the company becoming a privately-owned company and its ADSs will no longer be listed on the Nasdaq Global Select Market.
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