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Yunkang Group Limited M&A Activity 2011

Jul 27, 2011

50524_rns_2011-07-27_c7e5619e-ceda-4c30-a5bf-6b6ed431a141.pdf

M&A Activity

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Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited takes no responsibility for the contents of this announcement, makes no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

This announcement does not constitute an offer or an invitation to induce an offer by any person to acquire, subscribe for or purchase any securities.

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( Incorporated in Hong Kong with limited liability ) (Stock Code: 0992)

DISCLOSEABLE TRANSACTION IN RELATION TO:

(i) ACQUISITION OF THE SALE SHARES IN MEDION AG (ii) AN OPTION AGREEMENT IN RELATION TO THE OPTION SHARES IN MEDION AG

(iii) A SHAREHOLDERS’ AGREEMENT

(iv) A GENERAL OFFER FOR THE ENTIRE ISSUED SHARES OF MEDION AG AND

(v) A BUSINESS COMBINATION AGREEMENT

FULFILLMENT OF CONDITIONS PRECEDENT

Reference is made to the announcement issued by Lenovo Group Limited (the “ Company ”) dated 1 June 2011 (the “ Announcement ”). Terms defined in the Announcement shall have the same meanings when used herein, unless the context requires otherwise.

The Board is pleased to announce that all of the conditions precedent in the Share Purchase Agreement, including the antitrust clearance from the European Commission, have been satisfied and the Company, the Bidco and the Seller are in discussion of the SPA Closing which is expected to take place shortly.

It should be noted that the offer period during which shareholders of Medion may tender their shares under the Conditional Takeover Offer will continue until 1 August 2011. There will be an additional acceptance period of two weeks in case the offer is declared successful. Shareholders and potential investors are reminded to exercise caution when dealing in the Shares of the Company.

By order of the Board Liu Chuanzhi Chairman

Hong Kong, July 27, 2011

As at the date hereof, the executive director is Mr. Yang Yuanqing; the non-executive directors are Mr. Liu Chuanzhi, Mr. Zhu Linan, Ms. Ma Xuezheng, Mr. James G. Coulter, Mr. William O. Grabe and Dr. Wu Yibing; and the independent non-executive directors are Professor Woo Chia-Wei, Mr. Ting Lee Sen, Dr. Tian Suning and Mr. Nicholas C. Allen.