BioCentury
ARTICLE | Company News

Shang Pharma deal

January 7, 2013 8:00 AM UTC

On Dec. 21, 2012, the Chinese CRO said it agreed to an offer from a group of investors, which includes CEO and Chairman Michael Xin Hui and investor TPG Star Charisma Ltd., to take the company private for $9 per ADS in cash. The price is a 31% premium to ShangPharma's close of $6.88 on July 5, 2012, before the original offer was announced. The investors own about 66% of ShangPharma. At Sept. 30, ShangPharma had nine-month net revenues of about $94.5 million. The deal, which has been unanimously recommended by the company's board, is expected to close this half. JPMorgan is advising ShangPharma, while Skadden, Arps, Slate, Meagher & Flom is legal counsel to the company. Ropes & Gray; Maples and Calder; and Fangda Partners are legal advisors to Xin Hui and TPG. Latham & Watkins is also legal advisor to Xin Hui. ...