Chen to privatize Grand Network

Morning News (reporter Liu Ying flower liming) Yesterday, the Grand disclosure of a document, its board chairman, CEO and President Chen proposed a plan, to the company's overall privatization.　　As has repeatedly expressed the willingness to "return to effect", Chen overpass this repurchase was seen as a grand home to the "Prelude" to a A-share, more sources of speculation, a grand return has been locked in Shanghai. Shanda Interactive Entertainment Limited (Nasdaq:snda) yesterday announced that its board of directors had received a preliminary letter of recommendation from the Chairman, CEO and President Chen on October 15. In this letter, Chen proposed to each American Depository Receipts (each certificate represents two common stock) 41.35 U.S. dollars, that is, the price of 20.675 U.S. dollars per share, cash acquisition Shanda issued shares, not by Chen, Grand Board members Luo Qianqian (Chen wife)　　And the Grand COO and board member Danian (Chen Tianqiao younger brother) holds all shares. As of September 30, 2011, the trio had a share of about 68.4% per cent of their outstanding shares. The letter also said the buyer would set up a company subject for the transaction to complete the acquisition and raise money by borrowing.　　It is said that Chen flyover has a preliminary discussion with JPMorgan on the acquisition of funds, the acquisition of funds will be the acquisition of the formal contract signed at the same time in place. For a 20.675-dollar offer per share of common stock, Chen said "attractive to shareholders". If the company's stock closed on October 14, 2011, the proposed purchase price of 23.5% per cent premium, for the company's shares in the past 30-day weighted average price, the premium reached 26.6%, for the past 60 trading days weighted average price, the premium is 25.1%.　　Shanda currently has a market capitalisation of about 1.98 billion dollars. Chen Flyover's big money yesterday caused widespread concern in the industry, well-known angel investors, Millet Technology Chairman and CEO Lei commented: "Shanda has several listed companies, there is no shortage of financing channels." If the parent company succeeds in privatizing, there is no stock market or public pressure to do something big.　　At present, the Royal department has a grand Interactive entertainment, Shanda games and cool Six network of these several listed companies. Still, more people are linking privatisation to the grand-return plan, "21 times times the current premium, while domestic internet companies have a far higher price-to-earnings ratio than Nasdaq." "Some insiders say. In fact, Chen Flyover has repeatedly expressed the hope to return to a shares, this year's national "two sessions" on, Chen has submitted a "accelerated International board listing, help red chips" orphan unit "repatriation effect" proposal.　　As early as the "two Sessions" in 2008, Chen has appealed to encourage overseas listed red-chip enterprises to return to a a-share market, improve their independent innovation investment and financing environment.　　At present, the board has formally established a special committee of independent directors to consider the proposal, Shanda said yesterday. Affected by the news, in yesterday's pre-trading, Shanda Internet share priceSoared 16.5%. Share to: