China OKs Joy Deal
Mining specialist Joy Global Inc. announced that it has received approval from the Anti-monopoly Bureau of the Ministry of Commerce of the People’s Republic of China for its planned purchase of International Mining Machinery Holdings Limited (IMM), a designer and manufacturer of underground mining equipment in China. The approval represents approximately 41.1% of the outstanding common stock of IMM.
Following the terms of the deal announced in July between Joy Global and TJCC Holdings Limited (TJCC), Joy will now purchase TJCC’s 41.1% IMM shares at a price of approximately $584 million. Completion of the agreement is expected to take place by Dec. 30.
After the closing, Joy will own approximately 69.2% of IMM’s outstanding common stock. Upon closing of the purchase of IMM shares from TJCC, Joy will be required to make unconditional cash tender offers for the remaining outstanding shares of IMM common stock and all outstanding IMM share options. The tender offers will be launched by Joy Global’s wholly owned Hong Kong subsidiary, Joy Global Asia Limited, and will be subject to the terms and conditions to be set out in the offer document.