BEIJING, Dec. 14, 2015 /PRNewswire/ -- Jiangsu Sanyou Group Co Ltd (SZSE: 002044, "Jiangsu Sanyou", also known as Meinian Onehealth Healthcare (Group) Co., Ltd) today announces that the consortium of which it is a member ("the Consortium" or "We") has submitted a revised and improved proposal (the "Improved Proposal") to acquire iKang Healthcare Group, Inc. (NASDAQ: KANG, "iKang"). The Improved Proposal was submitted to the Special Committee of the Board of Directors (the "Special Committee") and the Consortium wishes to express that it remains committed to its objective of acquiring iKang.
The Improved Proposal increases the offer to US$23.50 per ADS or US$47.0 per share in cash to acquire 100% of the outstanding Shares (including Shares represented by ADSs) of iKang. The improved offer price represents a premium of approximately 46.2% to the unaffected closing price on August 28, 2015, the last trading day before iKang publicly announced receipt of the Insider Proposal, and a premium of approximately 32% to the Insider Proposal. The improved offer price is also US$3 higher per share than $44 per share the Consortium originally offered in its preliminary non-binding proposal on November 29, 2015.
The Improved Proposal brings iKang's shareholders enhanced share value and allows them to make their own decisions.
The Consortium includes a Chinese A-Share listed company, reputable financial institutions and private equity funds, each of which has a strong balance sheet or access to capital to provide the required funding internally. Each has agreed to provide definitive equity commitments, subject to terms and conditions, should iKang agree to enter into a merger agreement.
"We are optimistic about the potential of China's preventive health industry," said Yu Rong, CEO of Meinian. "We believe that there are huge untapped market opportunities, and that the sector has entered a phase of industry consolidation."
Should the transaction proceed, as leading players in China's fast growing preventive healthcare market, Meinian and iKang will form an alliance to improve industry standards and quality of service, reduce costs and improve efficiency, promote healthy development of the sector, and bring greater convenience to customers, thereby delivering benefits to both companies' shareholders.
About Jiangsu Sanyou and Meinian
Meinian Onehealth Healthcare (Group) Co., Ltd ("Meinian") was founded in 2004. It is China's leading preventive healthcare service provider, with more than 130 self-owned medical examination centers in more than 80 core cities. In 2015, Meinian provided its services to almost ten million customers. The development of Meinian is built on the size of its customer base, the accuracy of its data, and the standardised medical service it provides across China. Leveraging its professional medical examination services and health risk evaluation, Meinian also provides high quality healthcare management services, including preventive healthcare and wellness maintenance, to its corporate and individual customers. On August 2015, Meinian became an A-share listed company (SZ: 002044). It is due to complete a merger with another leading Chinese preventive healthcare service provider, Ciming. Meinian is an influential listed company in the medical service and healthcare sectors in China.