Key Developments For Focus Media Holding Limited
Focus Media Holding Limited (FMCN.O) (Nasdaq)
Focus Media Announces Completion Of Subscription For Ordinary Shares By Executive Chairman
Focus Media announced that the subscription for ordinary shares by Executive Chairman Jason Jiang, pursuant to the agreement entered into between Jason Jiang and the Company on September 23, 2009, has been completed. The Company issued and sold to Mr. Jiang, and Mr. Jiang subscribed for and purchased 75,000,000 ordinary shares of the Company at a subscription price of USD1.899 per share (equivalent to USD9.495 per ADR). As a result of Mr. Jiang's subscription, the Company received aggregate subscription price of USD142,425,000 to add on its cash balance as of the closing day.
SINA Corporation Announces That It Will Not Negotiate To Extend The Deadline For Its Merger With Focus Media's Digital Out-of-Home Business
SINA Corporation announced that the company and Focus Media, have jointly reached a decision to not extend the deadline of the agreement announced on December 22, 2008, by which the company agreed to acquire substantially all of the assets of Focus Media's digital out-of-home advertising networks. The agreement was set to expire if approval from the Chinese Ministry of Commerce was not received by September 30, 2009.
Focus Media Announces Subscription For Ordinary Shares By Executive Chairman
Focus Media announced that Executive Chairman Jason Jiang and the Company have entered into a definitive agreement pursuant to which the Company will issue and sell to Mr. Jiang, and Mr. Jiang will subscribe for and purchase, 75,000,000 ordinary shares of the Company at a subscription price of USD1.899 per share (equivalent to USD9.495 per ADR), representing the average closing sale price of the Company's shares (adjusted for the share-to-ADS ratio) during the 20 consecutive trading day period immediately preceding the date hereof. The aggregate subscription price is USD142,425,000. The shares subscribed for by Mr. Jiang will be subject to a six month lock-up and will have customary registration rights pursuant to a Registration Rights Agreement entered into between the Company and Mr. Jiang concurrently with the subscription. Following Mr. Jiang's subscription, he will hold approximately 19% of the Company's outstanding issued shares. In accordance with the definitive agreement, Mr. Jiang has the right to nominate one new Director to take the place of the current Executive Director. In order to incentivize the management team and employees, the Company further announced that the Company plans to cancel all outstanding options issued under its 2007 share option plan and to issue restricted shares under its 2007 share option plan to the management team, employees and Directors of the Company as an incentive plan.
Focus Media Issues Q3 2009 Revenue Guidance
Focus Media announced that for the third quarter of 2009, it expects net revenues from continuing operations to be between $46 and $47 million and net revenues from discontinued operations to be between $80 and $81.5 million.
Focus Media Issues Q2 2009 Revenue Guidance
Focus Media announced that for second quarter of 2009, it expects net revenues from continuing operations are expected to be no less than $69.0 million and net revenues from discontinued operations to be no less than $81.5 million.
