Bain buys 14% stake in Gome 500 million dollars

Gome May 29 issued a notice in the Hong Kong Stock Exchange, held a general meeting on June 30, and returned to the election of directors and finalized a 20% share sale of the final plan. In the more than 20 days before the meeting of shareholders, Gome seems to have been unable to sell the pace of the stock, according to the media, the exact news, June 6, Gome convened a board of directors, unanimously passed the U.S. private equity giant Bain Capital injection of Gome's plan. However, Gome did not issue a notice in time for the Hong Kong exchange.　　He Yangqing, vice president of Gome, said everything will be subject to the June 30 shareholder meeting. June 1, Bain Capital and Gome Management began a "exclusive" exclusive negotiations, 5 days later, Bain Capital to exceed the prices of other investment institutions, at a transaction price of HK $1.07, a total of 500 million U.S. dollars to buy the price of Gome 14% stake.　　Bain Capital entered, became Gome's second largest shareholder, Gome original board chairman Huang Guangyu still occupy the position of the largest shareholder, only from 35.5% down to nearly 30%. It is reported that Gome to sell shares to ease the pressure on the fund has been put on the agenda. Gome faces the urgent need to redeem 4.6 billion yuan in advance next May, making Gome more value bidders, as early as last December, Gome's board chairman, Chen Xiao, has been negotiating with a number of strategic investors, including Goldman Sachs, Ka Shing Asia and so on.　　In January this year, when Gome formally identified the Ka City Asia as a consultant, Chen began to contact KKR, Warburg Pincus, Bain Capital, Morgan Stanley and many other foreign investment agencies.　　From the current situation of Bain Capital, has raised more than 1 billion U.S. dollars in China, retail, IT, health and manufacturing areas of investment, and has invested in China's Sina, Baidu, Tencent and other Internet companies. The introduction of new investors, Gome Equity is the biggest protection.　　From the current Gome's top six shareholders accounted for, in addition to Huang Guangyu holding 35.5%, Chen was 5% of the equity, the other four equity is controlled by foreign agencies, and four of the total equity of foreign institutions has exceeded Huang Guangyu.　　China Securities analysts told reporters that because the current management of Gome do not want to see the transfer of corporate control, so Gome's previous major foreign shareholders were eventually ruled out by the Gome management, and the Ministry of Commerce will not approve the current remains the largest home appliance retailer of Gome is controlled by foreign companies. From the current Gome board members, the majority of shareholders still occupy 4 seats in the Executive director, Gome only for Bain prepared a seat.