Zongshen PEM Power Systems Inc. (TSX: ZPP) has completed its previously announced plan of arrangement transaction with Zongshen Industrial Group Co. Ltd. and Hong Kong VAS International Development Limited, whereby Hong Kong VAS has agreed to acquire all of the issued and outstanding common shares of Zongshen PEM Power Systems not owned by Hong Kong VAS or Zongshen Industrial Group for CDN $0.60 per share in cash.
Piror to the commence of the going private transaction, Zongshen Industrial Group and Hong Kong VAS collectively held approximately 63.45% of the outstanding shares of Zongshen PEM Power Systems.
Upon completion of the arrangement, Hong Kong VAS and Zongshen Industrial Group now own 100% of Zongshen PEM Power Systems Shares.
The transaction valued Zongshen PEM Power Systems at $59.41 million as whole and $21.83 million for the minority shareholders.
Zongshen PEM Power Systems shares will be delisted from the Toronto Stock Exchange (TSX) effective as of the close of business on December 27, 2012.
Zongshen PEM Power Systems manufactures low-cost, high quality, environmentally friendly gas motorbikes, electric motorcycles, electric bicycles and other e-vehicles in China for the Chinese domestic and international markets.
Backed by Zongshen Industrial Group, PEM Technologies was originally formed to develop technologies for improving the performance and lowering the cost of fuel cells.