Alibaba’s Logistics Arm Cainiao Proposes Buyout Offer for Rival Best Inc.
Hangzhou-based logistics company BEST Inc. has received a preliminary buyout offer from a consortium that includes local rival Cainiao, the logistics arm of Alibaba. The offer was presented in a non-binding proposal letter dated November 3, 2023, by BEST's founder and CEO, Shao-Ning Johnny Chou, on behalf of the consortium known as the Buyer Group.
The proposed buyout suggests acquiring all outstanding shares of BEST at a price of US$0.144 per ordinary share or US$2.88 per American Depositary Share (ADS). The Buyer Group, comprising key figures and companies such as Denlux Logistics Technology Invest, Alibaba Investment, BJ Russell Holdings, and Cainiao Smart Logistics Investment, plans to finance the deal primarily through equity capital from Cainiao and cash contributions.
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