AutoNavi Holdings Ltd. (NASDAQ: AMAP) said its board of directors has received a non-binding proposal letter, dated February 10, 2014, from Alibaba Group Holding Ltd. proposing a “going-private” transaction to acquire all of the American depositary shares and ordinary shares of AutoNavi not already beneficially owned by Alibaba for USD21 in cash per American depositary share, each representing four ordinary shares.
Alibaba beneficially owns preferred and ordinary shares of the company representing approximately 28% of the company´s total issued and outstanding shares.
According to the proposal letter, Alibaba intends to fund 100% of the cash consideration payable in the transaction with its cash on hand and the transaction will not be subject to any financing condition.
AutoNavi´s board of directors said a committee will consider the transaction.
AutoNavi Holdings is a provider of digital map content and navigation and location-based solutions in China. For more information on AutoNavi, visit http://www.autonavi.com.