Buyer Consortium Led By Recco Control Technology And Dazheng Group Issues Statement On Hollysys' Announced Special Meeting
Portfolio Pulse from Benzinga Newsdesk
A consortium led by Recco Control Technology and Dazheng Group reiterated their all-cash offer of $26.50 per share for Hollysys Automation Technologies Ltd. (HOLI). They expressed concerns that Hollysys' Board is negotiating a deal without shareholder support and emphasized the need for a Special Meeting before any definitive deal. The consortium includes TFI Asset Management and Great Wall Capital, who suspect the Board may favor a management buyout over a third-party bid. UBS AG Hong Kong Branch is the financial advisor, with legal counsel from Sullivan & Cromwell LLP, DLA Piper, and Conyers Dill & Pearman.
November 27, 2023 | 1:20 pm
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Hollysys Automation Technologies is the target of an all-cash acquisition offer of $26.50 per share by a consortium led by Recco Control Technology and Dazheng Group. The consortium is pushing for a Special Meeting to ensure shareholder rights are respected before any deal by the Board is finalized.
The reiterated offer and the insistence on a Special Meeting before any Board decision could be seen as a positive development for shareholders, potentially leading to a higher acquisition price or better terms. This could increase investor interest and drive up the stock price in the short term.
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