China New Borun announced that its Board of Directors has formed a special committee consisting of three independent directors to consider the previously announced non-binding "going-private" proposal that the Board received on January 10, 2018 from Jinmiao Wang, CEO and Chairman of the Board, and King River Holding Limited, a British Virgin Island company and a majority shareholder of the Company. Wen Jiang, Xisheng Lu and Binbin Jiang will serve on the Special Committee, which will be chaired by Wen Jiang. The Special Committee intends to retain independent legal and financial advisors to assist it in evaluating the Proposal.
China New Borun announced that its Board of Directors has received a non-binding proposal letter, dated January 10, 2018, from Jinmiao Wang, CEO and Chairman of the Board, and King River Holding Limited, a British Virgin Island company and a majority shareholder of the company, proposing a "going-private" transaction to acquire all of the outstanding ordinary shares of the company not already owned by Wang or King River for $1.67 in cash per American depositary share, or $1.67 per ordinary share, which represents approximately 32.6% above the average closing price of the company's ADSs over the last 30 trading days up to and including January 9, 2018. The Board intends to form a special committee consisting of independent directors to consider this proposal. The Company cautions its shareholders and others considering trading in its securities that the Board only recently received the non-binding proposal letter and no decisions have been made with respect to the Company's response to the proposal. 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.