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Despite multiple rejections and even after increasing its most recent offer, Dazheng Group reiterated its commitment to a $29.50 per share offer for Hollysys Automation (NASDAQ:HOLI).
The Dazheng-led buyer consortium said it would continue to strive for a $29.50 offer even if shareholders reject Hollysys (HOLI) expected Sale of $26.50 per share to Ascendent Capital in the vote on February 8, the consortium declared in a declaration on Saturday.
“The Consortium offer has increased certainty of closing compared to the Ascendent offer and is supported by financing above industry standards,” the buyer group said in the statement. “The Consortium has secured a debt commitment letter of US$1.05 billion from the Hong Kong branch of a reputable PRC-based bank, which is the same bank that issued a debt commitment letter to Ascendent Capital.”
The consortium’s latest statement comes after Hollysys (HOLI) on Monday rejected the buying group’s increased offer, arguing that its special committee has no confidence in Dazheng’s equity financing or its ability to close a transaction,
This week’s upcoming shareholder vote comes as influential proxy firms ISS and Glass Lewis earlier this month recommended Hollysys ( HOLI ) holders vote to reject the deal with Ascendent Capital.