Chinese wireless value-added services firm Linktone (LTON) has announced the successful completion of the previously-announced strategic investment by Indonesia's PT Media Nusantara Citra Tbk.
MNC agreed to purchase not less than 51% of Linktone's outstanding shares using a combination of a tender offer for existing American Depositary Shares and ordinary shares and a subscription for newly-issued ordinary shares.
Following the successful acquisition of 6,000,000 ADSs in the tender offer process, MNC subscribed for 180,000,000 newly-issued ordinary shares of Linktone at a purchase price of $0.38 per ordinary share. After giving effect to the subscription and the acquisition of ADSs and ordinary shares in the tender offer, MNC holds approximately 57.1% of Linktone's total outstanding ordinary shares.
In connection with this strategic investment, as previously approved by Linktone's shareholders at its extraordinary general meeting held on January 30, 2008, MNC's nominees were elected to Linktone's board of directors. Accordingly, Linktone's board of directors is now comprised of Hary Tanoesoedibjo, Elaine La Roche, Felix Ali Chendra, Sutanto Hartono, Thomas Hubbs, Allan Kwan, Michael Li, Agus Mulyanto, Colin Sung and Jun Wu. However, Colin Sung has informed Linktone of his intention to resign from the board of directors immediately for personal reasons.