SHANGHAI, Jan. 2, 2018 /PRNewswire/ -- eHi Car
Services Limited ("eHi" or the "Company") (NYSE: EHIC), a leading
car rental and car services company in China, today announced that its Board of
Directors (the "Board") has received a preliminary non-binding
proposal letter, dated January 1,
2018 (the "Proposal Letter"), from affiliates of MBK
Partners HK Limited and Mr. Ray RuiPing
Zhang, Chairman of the Board and Chief Executive Officer of
eHi, and his affiliates (together, the "Consortium"), that proposes
a "going-private" transaction (the "Proposed Transaction") for
US$13.35 in cash per American
Depositary Share of the Company (each representing two Class A
common shares), or US$6.675 in cash
per common share.
According to the Proposal Letter, the Consortium will form an
acquisition company for the purpose of implementing the Proposed
Transaction, and the Proposed Transaction is intended to be
financed with a combination of debt and equity capital. The
Proposal Letter indicates that equity financing will be provided in
the form of cash and rollover equity by members of the Consortium
(or their affiliates) and any additional members admitted to the
Consortium. The Consortium was formed in furtherance of the
going-private transaction initially proposed in the preliminary
non-binding proposal letter submitted by Goliath Advisors Limited
("GAL") on November 26, 2017 (the
"Initial Proposal Letter"), which proposed the same price of
US$13.35 in cash per American
Depositary Share. GAL has agreed and confirmed to the Company that
the proposal in the Proposal Letter supersedes and replaces GAL's
proposal in the Initial Proposal Letter.
As previously announced, the Board had formed a committee of
three independent directors (the "Special Committee") to evaluate
the Initial Proposal, and the Special Committee will evaluate the
Proposed Transaction from the Consortium. Also, as previously
announced, the Special Committee has retained Fenwick & West
LLP as its legal counsel and Duff & Phelps, LLC as its
independent financial advisor to assist it in this
process.
No decisions have been made by the Special Committee with
respect to the Company's response to the Proposed Transaction.
There can be no assurance that any definitive offer will be made,
that any agreement will be executed or that this or any other
transaction will be approved or consummated. The Company does
not undertake any obligation to provide any updates with respect to
the Initial Proposal Letter, the Proposed Transaction or any other
proposal or transaction, except as required under applicable
law.
About eHi Car Services Limited
eHi Car Services Limited (NYSE: EHIC) is a leading car rental
and car services provider in China. The Company's mission is
to provide comprehensive mobility solutions as an alternative to
car ownership by best utilizing existing resources and sharing
economy to create optimal value. eHi distinguishes itself
in China's fast-growing car rental and car services
market through its complementary business model, customer-centric
corporate culture, broad geographic coverage, efficient fleet
management, leading brand name, and commitment to technological
innovation. eHi is the exclusive strategic partner
in China of Enterprise, the largest car rental company in
the world, and is the designated and preferred business partner of
Ctrip, a leader in the online travel agency industry in China.
For more information regarding eHi, please
visit http://en.1hai.cn.
About MBK Partners HK Limited
MBK Partners HK Limited is an affiliate of MBK Partners
("MBKP"). Founded in 2005, MBK Partners is one of the largest
private equity funds in Asia with
capital under management of over US$15
billion. MBKP focuses on North
Asia and has developed expertise in various industries,
including consumer and retail, telecommunications and media,
financial services, healthcare, logistics and industrials. MBKP has
completed transactions of over US$21
billion in aggregate value, with aggregate revenues of its
portfolio companies exceeding US$36
billion. MBKP has over 45 investment professionals across
five offices in North Asia.
Safe Harbor Statement
This press release contains certain "forward-looking statements"
within the meaning of federal securities laws. All statements,
other than statements of historical facts, included herein are
"forward-looking statements" including, among other things,
statements about eHi's beliefs and expectations. The expectations
reflected in these forward-looking statements involve significant
assumptions, risks and uncertainties, and these expectations may
prove to be incorrect. Investors should not place undue reliance on
these forward-looking statements, which speak only as of the date
of this press release. Potential risks and uncertainties
include, but are not limited to, risks discussed in eHi's filings
with the U.S. Securities and Exchange Commission
at www.sec.gov. Other than as required under the securities
laws, the Company does not assume a duty to update these
forward-looking statements.
For investor and media inquiries, please contact:
In China:
eHi Car Services Limited
Tel: +86 (21) 6468-7000 ext. 8830
E-Mail: ir@ehic.com.cn
In the United States:
The Piacente Group, Inc.
Ms. Brandi Piacente
Tel: +1-212-481-2050
E-Mail: ehi@thepiacentegroup.com
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SOURCE eHi Car Services Limited