China.com Seeks Approval from Its Independent Shareholders to Purchase up to $10 Million of CDC Corporation Common Shares
CDC Corporation, (NASDAQ: CHINA) focused on enterprise software and online games, today announced that its majority-owned subsidiary, China.com, has filed an announcement with the Growth Enterprise Market of the Stock Exchange of Hong Kong Limited, or Hong Kong GEM Market, in which China.com seeks approval from its independent shareholders to purchase up to $10 million of CDC Corporation’s stock. In the filing, China.com stated that it has been exploring opportunities to enhance its investment yields and maximize shareholder value, and determined that a purchase of CDC Corporation shares would help achieve that goal.
Should China.com’s independent shareholders approve the proposal to purchase these shares of CDC Corporation, China.com intends to form an independent committee of its board of directors. This committee will be authorized to set the price and volume limits for the share purchase plan which must be effective on or before September 30, 2008. Additionally, the per share purchase price limit must not exceed $8 per share. A vote of China.com’s independent shareholders on the proposal is expected to occur approximately 14 days after the Hong Kong GEM Market approves the informational materials to be distributed to shareholders. Subject to receipt of approval from the Hong Kong GEM Market, China.com expects to distribute the informational materials to its independent shareholders on or before April 22, 2008.
