China Mengniu Dairy Company Limited entered into a sale and purchase agreement to acquire additional 18.2% stake in China Modern Dairy Holdings Ltd. from KKR & Co. L.P. through its fund KKR China Growth Fund, L.P. and CDH Investments through its fund CDH China Growth Capital Fund IV, L.P. for approximately $240 million.
January 05, 2017
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China Mengniu Dairy Company Limited (SEHK:2319) entered into a sale and purchase agreement to acquire additional 18.2% stake in China Modern Dairy Holdings Ltd. (SEHK:1117) from KKR & Co. L.P. (NYSE:KKR) through its fund KKR China Growth Fund, L.P. and CDH Investments through its fund CDH China Growth Capital Fund IV, L.P. for approximately $240 million on January 4, 2017. In a related transaction, China Mengniu Dairy Company Limited made a mandatory cash offer for all the China Modern Dairy Holdings Ltd. shares not already owned or agreed to be acquired by China Mengniu Dairy Company Limited. China Mengniu Dairy Company Limited will acquire 965 million shares at $0.25 per share. The consideration will be funded by internal resources and external debt facilities. The transaction is subject to listing of consideration shares and approval by the shareholders of China Mengniu Dairy Company Limited. The transaction is subject to the shareholder approvals of China Mengniu Dairy Company Limited. If the Conditions have not been satisfied or waived on or before March 15, 2017, the share purchase agreement will automatically terminate. As on January 25, 2017, it is expected that share purchase agreement completion will take place on February 7, 2017 being two business days after the extra ordinary general meeting. China Mengniu Dairy shareholder approved the transaction on February 3, 2017.
Nelson Tang, Owen Chan, Jeffrey Lee, Don Chan and Allan Wong of Hogan Lovells acted as a legal advisor to UBS Investment Bank Asia Ltd. which acted as a financial advisor to China Mengniu Dairy Company Limited. DBS Asia Capital Limited acted as a financial advisors to China Mengniu Dairy Company Limited. Sullivan & Cromwell LLP acted as a legal advisor to China Mengniu Dairy Company Limited. Computershare Hong Kong Investor Services Limited acted as registrar for China Mengniu Dairy Company Limited (SEHK:2319). Cleary Gottlieb Steen & Hamilton (Hong Kong) acted as a legal advisor to China Modern Dairy Holdings Ltd. and Somerley Capital Limited acted as financial advisor to China Modern Dairy Holdings Ltd.
KKR & Co. Inc. is an investment company, which offers alternative asset management as well as capital markets and insurance solutions. The Company's asset management business offers a range of investment management services to fund investors around the world. The Company operates through three segments: Asset Management, Strategic Holdings, and Insurance. The Asset Management business offers a range of investment management services to investment funds, vehicles, and accounts (including Global Atlantic) and provides capital markets services to portfolio companies and third parties. The Insurance business is operated by Global Atlantic, which is a United States retirement and life insurance company that provides a suite of protection, legacy and savings products and reinsurance solutions to clients across individual and institutional markets. The Strategic Holdings segment initially represents its participation in the core private equity strategy.
China Mengniu Dairy Company Limited entered into a sale and purchase agreement to acquire additional 18.2% stake in China Modern Dairy Holdings Ltd. from KKR & Co. L.P. through its fund KKR China Growth Fund, L.P. and CDH Investments through its fund CDH China Growth Capital Fund IV, L.P. for approximately $240 million.
KKR & CO. INC. 
