Cogo Signs Sale and Purchase Agreement for Chairman and CEO Jeffrey Kang to
Acquire 30.4% of Cogo Net Assets
SHENZHEN, China, Sept. 23, 2013
SHENZHEN, China, Sept. 23, 2013 /PRNewswire/ -- Cogo Group, Inc. ("Cogo," or
the "Company") (NASDAQ: COGO) a leading gateway for global semiconductor
companies to access the industrial and technology markets in China, announced
today that the Company's Audit Committee, assigned to oversee the negotiation
of the transactionby the Board of Directors, has signed a Sale and Purchase
Agreement to sell just over30% of its assets to its founder, CEO and
Chairman, Jeffrey Kang, for a purchase price of $80 million. The transaction
is expected to close before the end of 2013.
At the NASDAQ close on September 20, 2013, Cogo's share price was at
$2.18.The Company expects to continue purchasing its ordinary shares pursuant
to a 10b5-1 plan during the upcomingblackout period.
Safe Harbor Statement:
This press release includes certain statements that are not descriptions of
historical facts, but are forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
and Exchange Act of 1934. These forward-looking statements may include
statements about our proposed discussions related to our business or growth
strategy such as growth in new business initiatives or potential disposals and
acquisitions, all of which are subject to change. Such information is based
upon expectations of our management that were reasonable when made, but may
prove to be incorrect. All such assumptions are inherently subject to
uncertainties and contingencies beyond our control and upon assumptions with
respect to future business decisions, which are subject to change. For further
descriptions of other risks and uncertainties, see our most recent Annual
Report filed with the Securities and Exchange Commission (SEC) on Form 20-F,
and our subsequent SEC filings. Copies of filings made with the SEC are
available through the SEC's electronic data gathering analysis retrieval
system (EDGAR) at www.sec.gov.
For further information:
H.K.: +852 2730 1518
U.S.: +1 (646) 291 8998
Fax: +86 755 2674 3522
About Cogo Group, Inc.:
Cogo Group, Inc. (Nasdaq: COGO) is the leading gateway for global
semiconductor companies to access the rapidly growing Industrial and
Technology sectors in China. Through its unique business-to-business services
platform, Cogo designs customized embedded solutions using technology from
suppliers including Broadcom, Xilinx, Atmel and others for a customer base of
over 2,100 Chinese OEMs/ODMs. Cogo's customer list includes approximately 100
blue-chip companies, including ZTE, BYD and NARI, as well as nearly 2,000
Small and Medium Enterprises (SMEs). The Company serves a broad list of
rapidly growing end-markets in China, including 3G Smartphones, Tablets,
Automotives, High-Speed Railway, Smart Meter/Smart Grid, Healthcare and High
Definition Television "HDTV."
SOURCE Cogo Group, Inc.
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