SEE:CEO Eric Khua of Vibrant raises shareholdings; acquires significant stake in Matex International
In addition to the consideration, which is fully payable in cash, Shengzhou Lv Huan Digital Offset Printing will pay off Matex Chemicals’ loans amounting to RMB57.9 million to Matex International. A deposit of RMB5 million has already been paid, and will go towards the total consideration. The indicative equity valuation, according to Beijing Colliers International Real Estate Valuation Co, is RMB6.0 million, which takes into account the property valuation of RMB81 million as at Feb 28. The agreement will become effective once Matex International has obtained the approval of its shareholders for the proposed disposal, and once the two other shareholders of Matex Chemicals, Shanghai Tangzhen Investment Development (Group) and Shenyang Chemical Research Institute has issued written irrevocable waivers of their right of first refusal to acquire the equity. The other shareholders of Matex Chemicals will also have to agree to sell their remaining 40% stake to Shengzhou Lv Huan and sign their respective transfer agreements. If the conditions are not satisfied by Dec 31, either party has the right to terminate the agreement.