Beijing-based Ninetowns Internet Technology Group Co. Ltd. (Nasdaq: NINE) has received a proposal letter from certain directors that proposes taking the company private. The deal could be valued at up to $69 million.
The company makes software related to international trade.
The proposal would allow those directors to buy outstanding common stock for between $1.80 and $2 per share. The group would create an acquisition vehicle to complete the deal. The members already own 26.8 percent of Ninetowns’ outstanding stock.
Ninetowns has created a special committee to consider the proposal. The company has been publicly listed since December 2004.
Paul Hastings LLP is acting as the Ninetown's U.S. legal counsel, while Ropes & Gray advises the directors looking to buy the company. They include Shuang Wang, Min Dong, Xiaoguang Ren, Kin Fai Ng, Bolin Wu, Zhonghai Xu and Tommy Siu Lun Fork.