Category: Money tips Release Date: 2006-10-05
Neusoft Shares issued a public notice today, the company said the merger will be convertible to absorb the controlling shareholder of Neusoft Group Neusoft Group to achieve the overall market.
Announcement shows that the conversion price of the shares of Neusoft 24.49 yuan, Neusoft Group, the conversion price of 7.00 yuan, swap ratio of 1:3.5, that is, Northeastern University Technology Industry Group Co., Ltd., held by 10 shareholders, Neusoft Group, Each 3.5 per Neusoft amounts of capital into shares of a shares. Neusoft Group's current shareholders, all amounts of capital into shares of Neusoft shares, such shares in circulation A share sale is limited, since the threshold of the notice of change of shares on sale for three years, after which they can be traded.
Convertible absorption of the merger is completed, Neusoft, after completion of the merger of shares as to absorb the survival of a listed company, Neusoft Group cancellation of legal personality, its assets and liabilities of all-survival company. Among them, Neusoft Group Neusoft shares currently held by all the shares of a total of 14,157.98 million shares will be canceled. Notice that, in order to protect Neusoft limited sale of shares of non-tradable shares the interests of the shareholders, convertible to absorb the merger also gives the shares Neusoft shareholders (except for Neusoft Group) in accordance with 24.49 yuan / share in cash right to choose to exercise the cash option Shares will be one or several third-party payment of cash right price, the corresponding shares will be transferred to third parties.
Statistics show that Neusoft Neusoft Group, the controlling shareholder of shares by the Department of Foreign Trade and Economic Cooperation of Liaoning Province, approved in May 2003 by the Neusoft Group Co., Ltd. and Toshiba, Alpine and other foreign investment in joint venture set up by the shareholders of the East major industry group, Baosteel Group, Alpine Electronics (China) Limited. As at the end of Neusoft Neusoft Group holds 50.3% equity stake. It is understood that Neusoft Group is a software technology as the core, is mainly engaged in software services, education and training, medical equipment, products, business, high-tech company, which employs 10098 people, is China's largest solution providers . As of December 31, 2005, Neusoft Group's net assets of 1.599062 billion yuan, 136.602 million yuan net profit in 2005.
Neusoft Stock said the company is the controlling shareholder of the merger swap absorb Neusoft Group Neusoft Group to achieve the overall market, would be better to play Neusoft Neusoft Group shares and their respective resources, technologies, products and management advantages, improve the overall operation the efficiency and quality, reduce administration and transaction costs, the effective elimination of both the potential intra-industry competition to reduce the related-party transactions and other acts of any potential conflicts of interest, establish a consistent long-term pattern of shareholder interests.
It is worth mentioning that the Neusoft Group also committed to all shareholders, this merger to absorb the survival of the company in 2007 earnings per share is estimated to reach more than 0.70 RMB (unaudited), otherwise will be limited to selling a certain percentage of non-tradable shares to the shareholders chasing delivery of shares. Analysts believe that the stock can resume trading after the purchase.
