China GrenTech Corporation announced today the completion of the merger contemplated by the previously announced amended and restated agreement and plan of merger dated January 20, 2012, among Talenthome Management Limited (Parent), Xing Sheng Corporation Limited (Merger Sub), and the Company. As a result of the merger, the Company became a wholly owned subsidiary of Parent.
Under the terms of the Merger Agreement each ordinary share of the Company (Share) issued and outstanding immediately prior to the effective time of the merger [...] has been cancelled in exchange for the right to receive US$0.126 per Share and each ADS, each representing 25 Shares, represents the right to receive US$3.15 per ADS (less US$0.05 per ADS cancellation fees), in each case, in cash without interest and net of any applicable withholding taxes.
Our new products started the year with positive developments in their respective industries, especially WLAN as a result of increased investment by each of the three major operators. China Mobile significantly increased its capital expenditures on WLAN in 2011, which makes WLAN one of the investment highlights in 2011 in the telecommunications industry. China Unicom and China Telecom have followed suit and increased their capital expenditure budgets on WLAN. For the second quarter of 2011, GrenTech forecasts revenue to be in the range of RMB380.0 million to RMB425.0 million.