Australia’s leading job portal SEEK has just released an update regards to a potential privatisation of their listed subsidiary Zhaopin.com.
SEEK has formed a consortium with leading private equity firms Hillhouse Capital Group and Fountain Vest Partners for the purpose of a potential privatisation of Zhaopin.
The consortium is in advanced discussions with a Special Committee of the Board of Zhaopin in relation to the potential transaction for a purchase price of US$18 per American Depositary Share.
Furthermore, the consortium intends to fund part of the consideration for the potential transaction through available cash in Zhaopin, which may be in the form of a cash dividend from Zhaopin to holders of shares (with a corresponding reduction in the per ADS purchase price).
If the proposed transaction is completed, it is expected that SEEK will retain a similar controlling equity interest in the privatised company.
