Beijing (PingWest)—Jumei International Holding Limited (JMEI), an NYSE-listed Chinese cosmetic e-commerce company, has received a preliminary non-binding proposal letter , dated January 11, 2020, from Mr. Leo Ou Chen, chairman of the Board, chief executive officer and acting chief financial officer of the company, to acquire all of the outstanding ordinary shares of the company.
The group proposed to purchase the shares not held by the buyer group at a price of $20 per ADS.
This is not the first time Chen has attempted to take Jumei private. As early as February 18, 2016, Chen Ou made his first proposal to privatize the company with a buyback price of $7 per ADS, significantly lower than its IPO price of $22. Chen withdrew his first privatization offer in November 2019 after small and medium-sized shareholders protested against the buyback.
The stock closed at $19 on Monday.