Buyer group reiterates $25 p/s offer for Hollysys after sale process news

Buyer consortium led by Recco Control Technology and Dazheng Group issued a statement regarding Hollysys Automation Technologies announcement that it has launched a formal sale process. Members of the consortium also include TFI Asset Management Limited, and Great Wall Capital who have entered into a memorandum of strategic cooperation with Recco Control Technology and Dazheng Group in connection with the proposed acquisition of Hollysys. The consortium welcomes Hollysys’ decision to explore strategic options to maximize value for its shareholders. “The formation of a Special Committee is a step forward to realization of the true value of Hollysys and the consortium looks forward to engaging with the Special Committee in a full, transparent, and genuine due diligence process. A swift and thorough process will enable the consortium, with the insight of full due diligence, to solidify its non-binding indicative all-cash offer of $25 per share, or approximately $1.55B. “Today’s announcement that Hollysys is launching a full sale process is a step in the right direction for the shareholders of Hollysys,” commented Mr. Ke Lei, director of Recco Control Technology… “A transparent and full process is clearly in the best interest of Hollysys shareholders and we look forward to discussing our $25 all-cash offer with the Special Committee. We remain motivated to move into due diligence and subsequent negotiations with the Special Committee and be in a position to sign a definitive agreement shortly after access to full due diligence.” Separately, the consortium notes the reference to the notices of intention to request a special meeting of the shareholders of Hollysys,” said the aforementioned consortium.