TORONTO - Fertilizer company Hanfeng Evergreen Inc. (TSX:HF) says it has received an unsolicited takeover offer from its president and CEO.
The company says Xinduo Yu, who holds about 20.2 per cent of Hanfeng shares, wants to acquire and privatize the company.
Hanfeng says the proposal would see a company wholly-owned by Yu acquiring all outstanding shares at a price of $2.20 in cash per share, which closed Tuesday on the TSX at $1.82.
A special committee of independent directors is reviewing the proposal, and as a result has postponed its annual shareholders meeting until Feb. 13.
The company's board of directors is cautioning shareholders that no decisions have been made regarding Hanfeng's response to the proposal as yet.
Hanfeng is headquartered in Toronto and produces fertilizers in China and Southeast Asia.