Chinese food maker American Lorain has appointed a financial advisor to assess a "going private" proposal from its chairman and CEO for the takeover of the firm.
A special committee of the company's board of directors, formed to evaluate the proposal received from Mr. Si Chen, said today (29 October) it has retained Cowen & Co as independent financial advisor.
Cowen & Co will "assist" the committee in its work, American Lorain said. Chen has submitted a proposal to acquire all outstanding shares of common stock he does not currently own. Chen currently owns around 46.5% of the company's outstanding ordinary shares.
"No assurance can be given that any definitive offer will be made, that any agreement will be executed or that a transaction with Mr. Chen or any other transaction will be approved or consummated," the company said.
"The company does not intend to disclose developments regarding these matters unless and until its board of directors determines there is a need to update the market."
