a leading developer of residential and commercial properties in northwest China, today announced
that the board of directors of the Company (“Board”), by unanimous written consent dated as of August 19, 2014, authorized and approved a “going private” transaction (the “Transaction”) designed to eliminate CHLN’s status as a public company in the U.S.
The Transaction would include a reverse stock split shares of our common stock, whereby every 50,000 shares of our common stock issued and outstanding will be converted into one whole share of our common stock. In lieu of issuing any fractional shares to stockholders as a result of the Reverse Stock Split, the Company will make a cash payment equal to $1.75 per pre-reverse stock split share to such stockholders. The funds for the Transaction will come from the Company’s cash on hand.
The Board has formed a special committee of independent directors (the “Special Committee”) consisting of four independent and disinterested directors, Messrs. Suiyin Gao, Yusheng Lin, Mingduo Yang and Maosheng Luo, to review the Transaction. The Special Committee retained advisors to assist it in its work and has unanimously determined that the Transaction is in the best interest of all stockholders.