Chinese online game developer and operator Changyou recently announced that the board of the company has received an initial non-binding privatization proposal from its chairman Charles Zhang.

According to the proposal, Zhang, who is the founder of, intends to acquire Changyou's all class A and class B common stock in circulation, including those class A common stock represented by American depositary receipts.

The acquisition offer is USD21.05 per class A or class B common share, or USD42.10 per American depositary receipt. The price represents a 50% premium compared with the company's average ADR closing price over the past 90 trading days and it represents a 9% premium compared with its ADR closing price on May 19, 2017.

Changyou's board of directors plans to establish a special committee formed by independent directors. The board predicted that this special committee would hire independent consultants, including financial and legal consultants, to assist their consideration procedure.


Please enter your comment!
Please enter your name here