Zoom Technologies inks intent to acquire Tinho

On January 13, 2014, Zoom Technologies, Inc. (NASDAQ: ZOOM) said it entered into a letter of intent with Tinho Union Holding Group to acquire all the outstanding shares of Tinho by issuing approximately 9.4 million new shares of the company´s common stock at a valuation of USD8.6505 per share to the shareholders of Tinho.

Tinho is a B2B e-commerce platform provider for the travel industry in China. Tinho´s innovative platform aggregates and streamlines a vast inventory of travel products, including air, hotels, car rentals, and vacation packages from travel service providers worldwide to enable customers to find the best deals in real-time. Founded in 2009, Tinho is headquartered in Shenzhen, China with over 200 employees.

Maxim Group LLC is acting as the company´s financial advisor in connection with the Transaction.

On January 4, 2013, the company sent notice to Beijing Baifen Tonglian Information & Technology Co., Ltd. (Baifen) of the termination of the previous letter of intent between Zoom and Baifen, dated November 21, 2013. The termination was made within the 45 day “Shop Period,” during which Zoom had the right to seek other potential targets and terminate the letter of intent.

Zoom´s independent board members voted in favor of entering into a LOI with Tinho instead of proceeding with the transaction with Baifen because it believed the terms and conditions offered by Tinho´s shareholders were considered superior to those offered by Baifen.

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