Home / Business / Business Highlights Tools: Save | Print | E-mail | Most Read | Comment
Bain aims to buy 20% stake in Gome
Adjust font size:

A Bain negotiation team, headed by Hong Kong-based managing director Jonathan Zhu, began exclusive talks with Gome's management team led by Chairman Chen Xiao this Monday, aiming to buy 20 percent of Gome's stake, reported Shanghai Securities News Thursday. No legally binding contract has been signed yet.

Bain aims to buy a 20 percent stake of Gome worth about HK$3 billion (US$387 million) based on the latter's last closing price of HK$1.12 per share. In the battle for this deal, Bain has competed with other potential investors including KKR, Fortress, Best Buy, and Fosun Group.

Insiders revealed that the reason for Bain's entering into exclusive talks is that it has put forward a proposal to the US government, pledging to "guarantee the holding position of Huang Family". Huang Guangyu, Gome founder and ex-chairman, is being investigated by Chinese police for alleged financial misconduct.

On June 30, Gome will hold its general meeting of shareholders at which Vice Chairman Sun Yiding, once an intimate of Huang Guangyu, is likely to be elected as an executive director. There would then be three allies of Huang among the four executive directors.

For more details, please read the full Chinese coverage at:


(China.org.cn by Fan Junmei June 4, 2009)

Tools: Save | Print | E-mail | Most Read Bookmark and Share
Pet Name
China Archives
Related >>
- Extra Gome stores reap rewards
- Gome gains indirect stake in Sanlian
- Gome now owner of Sanlian
- Gome 'behind scenes' in purchase of retailer
June 7 Tokyo 2nd China-Japan High-Level Economic Dialogu

June 30 Shanghai 2009 Automotive Engine Technology Seminar

July 3-4 Beijing Global Think Tank Summit
- Output of Major Industrial Products
- Investment by Various Sectors
- Foreign Direct Investment by Country or Region
- National Price Index
- Value of Major Commodity Import
- Money Supply
- Exchange Rate and Foreign Exchange Reserve
- What does the China-Pakistan Free Trade Agreement cover?
- How to Set up a Foreign Capital Enterprise in China?
- How Does the VAT Works in China?
- How Much RMB or Foreign Currency Can Be Physically Carried Out of or Into China?
- What Is the Electrical Fitting in China?