HRBN to be Acquired for $24/Share in Cash

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Last Update: 20-Jun-11 11:02 ET

Harbin Electric (HRBN $12.30 +3.91) has entered into a definitive agreement and plan of merger with Tech Full Electric.

Under the terms of the Merger Agreement, each of the co's shares of common stock issued and outstanding immediately prior to the effective time of the merger will be converted into the right to receive $24.00 in cash without interest, except for Shares owned by Parent and Merger Sub (including shares to be contributed to Parent by Mr. Tianfu Yang, affiliates of Abax Global Capital and certain employees and officers prior to the effective time of the merger pursuant to a contribution agreement between Parent, each member of the Purchasing Group and Tianfu Investments, company directly owning 100% of the equity interest in Parent).

Collectively, the Purchasing Group beneficially owns approximately 40.6% of the outstanding Shares. The Company's Board of Directors, acting upon the unanimous recommendation of a special committee of the Board of Directors comprised of solely independent and disinterested directors approved and adopted the Merger Agreement and recommended that the Company's shareholders vote to approve the Merger Agreement.