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UPDATE 1-China TransInfo accepts CEO's go-private offer
June 8, 2012 / 11:06 AM / 6 years ago

UPDATE 1-China TransInfo accepts CEO's go-private offer

* Deal values company at $146.6 mln

* Offer of $5.80 per share at $28.3 pct premium

* Shares up 18 pct premarket

June 8 (Reuters) - China TransInfo Technology Corp, which makes 2D and 3D geography information system software for the Chinese government, agreed to be taken private by its CEO and his affiliates in a deal that values it at about $146.6 million.

CEO Shudong Xia, who already owns 27.8 percent of the company, offered to buy the rest of the stock for $5.80 per share, a 28.3 percent premium to the stock’s Thursday close.

Shares of the company, which has a market value of $114.2 million, were up 18 percent in premarket trading on Friday.

Shudong offered $5.65 per share on Feb. 21.

China TransInfo said it will be a wholly owned unit of TransCloud, a shell company Shudong owns.

TransCloud will fund the acquisition through a loan secured from China Development Bank Corporation.

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