HONG KONG, June 4, 2019 /PRNewswire/ -- Global Cord Blood
Corporation (NYSE: CO) (the "Company"), China's leading provider of cord blood
collection, laboratory testing, hematopoietic stem cell processing
and stem cell storage services, today announced that its board of
directors has received a non-binding proposal letter from Cordlife
Group Limited ("Cordlife"), a company
listed on the Mainboard of the Singapore Exchange Securities
Trading Limited ("SGX"), pursuant to which Cordlife proposes
to combine the businesses of Cordlife and the Company, by way of a
statutory merger. Cordlife will issue its ordinary shares at an
issue price of SGD0.5 per ordinary
share in exchange for all of the outstanding ordinary shares of the
Company at US$7.50 per ordinary
share.
According to the proposal letter, which is dated June 4, 2019, Cordlife would issue approximately
2,497.9 million ordinary shares in exchange for all of the
outstanding shares of the Company. Upon completion of the proposed
transaction, the Company's ordinary
shares will be delisted from the New York Stock Exchange
and the Cordlife ordinary shares
will continue to trade on SGX.
Completion of the proposed transaction is subject to various
conditions, including but not limited to, satisfactory completion
of due diligence, approval by the board of directors and
shareholders of Cordlife and the Company, applicable regulatory
approvals and other customary conditions.
The Company expects that its board of directors will form a
special committee of independent directors (the "Special
Committee") to consider the proposed transaction. The Company also
expects that the Special Committee will retain advisors, including
an independent financial advisor and legal counsel, to assist it in
its work.
The Company cautions its shareholders and others considering
trading its ordinary shares that no decisions have been made with
respect to the Company's response to the proposed transaction. The
proposed transaction is still subject to various conditions,
including but not limited to, completion of due diligence, parties
entering into definitive agreement, and/or each of Cordlife and the
Company obtaining its relevant regulatory and shareholders
approval. There can be no assurance that any definitive offer will
be made, that any agreement will be executed or that this or any
other transaction will be approved or consummated.
About Global Cord Blood Corporation
Global Cord Blood Corporation is the first and largest umbilical
cord blood banking operator in China in terms of geographical coverage and
the only cord blood banking operator with multiple licenses. Under
current PRC government regulations, only one licensed cord blood
banking operator is permitted to operate in each licensed region
and no new licenses will be granted before 2020 in addition to the
seven licenses authorized as of today. Global Cord Blood
Corporation provides cord blood collection, laboratory testing,
hematopoietic stem cell processing and stem cell storage services.
For more information, please visit the Company's website at
http://www.globalcordbloodcorp.com.
Safe Harbor Statement
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, and
Section 21E of the Securities Exchange Act of 1934. These
statements relate to future events or the Company's future
financial performance. The Company has attempted to identify
forward-looking statements by terminology including "anticipates",
"believes", "expects", "can", "continue", "could", "estimates",
"intends", "may", "plans", "potential", "predict", "should" or
"will" or the negative of these terms or other comparable
terminology. These statements are only predictions, uncertainties
and other factors may cause the Company's actual results, levels of
activity, performance or achievements to be materially different
from any future results, levels of activity, performance or
achievements expressed or implied by these forward-looking
statements. The information in this press release is not intended
to project future performance of the Company. Although the Company
believes that the expectations reflected in the forward-looking
statements are reasonable, the Company does not guarantee future
results, levels of activity, performance or achievements. The
Company expectations are as of the date this press release is
issued, and the Company does not intend to update any of the
forward-looking statements after the date this press release is
issued to conform these statements to actual results, unless
required by law.
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SOURCE Global Cord Blood Corporation