Shanda Interactive (SNDA) Announces $36.9M Recorded Music, Wireless Services Acquisition from Hurray! (HRAY)
Up)
Shanda Interactive Entertainment Limited (Shanda) (Nasdaq: SNDA) and Hurray! Holding Co., Ltd. (Hurray!) (Nasdaq: HRAY) today announced that Shanda and Hurray! have entered into a definitive agreement under which Hurray! will acquire an online audio business of Shanda in exchange for 415,384,615 newly issued ordinary shares of Hurray!, and concurrently, Shanda will acquire Hurray!'s recorded music and wireless value-added services businesses in exchange for an aggregate of US$36,944,267 in cash, subject to adjustment based on the May 31, 2010 cash balances of the businesses being transferred to Shanda. The net consideration to Hurray!, for its businesses excluding payment for the cash balances in the businesses being transferred is estimated to be approximately US$11 million.
A committee, comprised of three independent directors of Hurray!, represented Hurray! in the negotiations of the transaction agreement and received fairness opinion on the proposed transaction from its independent financial advisor, KPMG Advisory (China) Limited. After extended negotiations and careful consideration, the special committee approved the proposed transaction.
Completion of the transaction will be subject to various conditions, including the approval of the issuance of the ordinary shares of Hurray! to Shanda at Hurray!'s shareholders' meeting. The transaction is expected to be completed in the third quarter of 2010.
A committee, comprised of three independent directors of Hurray!, represented Hurray! in the negotiations of the transaction agreement and received fairness opinion on the proposed transaction from its independent financial advisor, KPMG Advisory (China) Limited. After extended negotiations and careful consideration, the special committee approved the proposed transaction.
Completion of the transaction will be subject to various conditions, including the approval of the issuance of the ordinary shares of Hurray! to Shanda at Hurray!'s shareholders' meeting. The transaction is expected to be completed in the third quarter of 2010.
You May Also Be Interested In
- UPDATE: SAP's (SAP) America Unit to Buy Ariba (ARBA) for $45/Share
- Symantec (SYMC) to Acquire VeriSign Japan KK for $556/Share
- CVR Energy (CVI) Hires Jefferies for Sale Process
Create E-mail Alert Related Categories
Mergers and AcquisitionsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
