BioCentury
ARTICLE | Financial News

China Biologic spurns acquisition proposal, seeks $590M raise

August 31, 2018 6:44 PM UTC

Plasma products company China Biologic Products Holdings Inc. (NASDAQ:CBPO) said it turned down an acquisition proposal made on Aug. 17, and said it is raising $590 million in a private placement.

The Aug. 17 proposal to take the company private for $118 per share in cash was made by a consortium comprising former executive David Gao, GL Capital Group, Bank of China Group Investment Ltd. and CDH Investments. The price values the company at $3.9 billion, based on 33.2 million outstanding shares, and is a 31% premium to its Aug. 16 close of $90.40, before the offer was disclosed in a letter to the company's board. A spokesperson for the consortium declined to comment on whether the group would make another offer...