Yongye International Provides Update on Status of Proposed Go Private Offer
BEIJING, April 16, 2013
BEIJING, April 16, 2013 /PRNewswire-FirstCall/ --Yongye International, Inc.
(NASDAQ: YONG) ("Yongye" or the "Company"), a leading developer, manufacturer,
and distributor of crop nutrient products in the People's Republic of China,
today announced that the special committee (the "Special Committee") of the
board of directors was provided a letter ("Amendment") amending the amended
and restated financing commitment letter (the "Commitment Letter") issued by
Abax Global Capital (Hong Kong) Limited ("Abax") to Full Alliance
International Limited on April 1, 2013.
As previously announced, the Commitment Letter would terminate on April 15,
2013 if the common stock of the Company has not resumed trading on NASDAQ on
that date. Pursuant to the Amendment, the Commitment Letter was amended to
(i) include an additional condition precedent that the common stock of the
Company has resumed trading on NASDAQ, but without any requirement that the
resumption must occur by a specified date, and (ii) extend the expiration of
the commitment to the earliest of (A) May 15, 2013, (B) the date the
definitive documentation for such financing becomes effective and (C) the date
the acquisition agreement for the proposed going private transaction is
terminated. Abax's commitment remains subject to a number of other conditions,
including Abax's completion of its review of, and satisfaction in all respect
with, the audited financial statements of the Company for the fiscal year
ended December 31, 2012.
As a reminder, no decisions have been made by the Special Committee with
respect to the Company's response to the proposed going private transaction.
There can be no assurance that any definitive offer will be made, that any
agreement will be executed, or that this or any other transaction will be
approved or consummated.
About Yongye International
Yongye International, Inc. is a leading crop nutrient company headquartered in
Beijing, with its production facilities located in Hohhot, Inner Mongolia,
China. Yongye's principal product is a liquid crop nutrient, from which the
Company derived substantially all of the sales in 2011. The Company also
produces powder animal nutrient product which is mainly used for dairy cows.
Both products are sold under the trade name "Shengmingsu," which means "life
essential" in Chinese. The Company's patented formula utilizes fulvic acid as
the primary compound base and is combined with various micro and macro
nutrients that are essential for the health of the crops. The Company sells
its products primarily to provincial level distributors, who sell to the
end-users either directly or indirectly through county-level and village-level
distributors. For more information, please visit the Company's website at
Safe Harbor Statement
This press release contains certain statements that may include
"forward-looking statements." All statements other than statements of
historical fact included herein are "forward-looking statements." These
forward-looking statements are often identified by the use of forward-looking
terminology such as "believes," "expects" or similar expressions, involving
known and unknown risks and uncertainties. Although the Company believes that
the expectations reflected in these forward-looking statements are reasonable,
they do involve assumptions, risks and uncertainties, and these expectations
may prove to be incorrect. You should not place undue reliance on these
forward-looking statements, which speak only as of the date of this press
release. The Company's actual results could differ materially from those
anticipated in these forward-looking statements as a result of a variety of
factors, including the risk factors discussed in the Company's periodic
reports that are filed with the Securities and Exchange Commission and
available on the SEC's website (http://www.sec.gov). All forward-looking
statements attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by these risk factors. Other than as
required under the securities laws, the Company does not assume a duty to
update these forward-looking statements.
Ms. Kelly Wang
Finance Director – Capital Markets
Phone: +86-10-8231-9608; +86-10-8232-8866 x 8827
Mr. John Capodanno
Ms. May Shen
Phone: +86 10 8591 1951
SOURCE Yongye International, Inc.
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