Exceed Company Ltd., the sportswear brands in China, said Pan Long
Company Limited, wholly owned by Shuipan Lin, will acquire the company
for US$1.78 per ordinary share. This represents a 19.5 percent premium
over the closing price of
US$1.49 on Aug. 16, the last trading day prior to the company's
announcement on Aug. 19, that it had received a “going private”
proposal.
It also represents a 24.4 percent premium over the volume-weighted average closing
price of the company's shares during the 30 trading days prior to Aug.
16, 2013. The consideration to be paid to holders of Shares implies an
equity value for the Company of approximately US$60.1 million, on a
fully diluted basis.
Pan Long Company Limited has received from
Mr. Lin an equity commitment letter, pursuant to which Mr. Lin has
committed to subscribe for ordinary shares in Parent in the amount of
US$19,545,858 subject to adjustment in certain cases. Mr. Lin has also
entered into a limited guarantee in favor of the company.
Exceed Company Ltd. designs, develops and engages in wholesale of footwear, apparel and accessories under its own brand, XIDELONG, in China. Since it began operations in 2002, Exceed has targeted its growth on the consumer markets in second and third-tier cities in China. Exceed has three principal categories of products: (i) footwear, which comprises running, leisure, basketball, skateboarding and canvas footwear, (ii) apparel, which mainly comprises sports tops, pants, jackets, track suits and coats, and (iii) accessories, which mainly comprise bags, socks, hats and caps. Exceed Company Ltd. currently trades on Nasdaq under the symbol “EDS”
