Tibet Pharmaceuticals, Inc. (NASDAQ: TBET) announced on February 27th its intent to accept a “going private” and cease its public company status. Mr. Hong Yu, CEO and Chairman of Tibet Pharmaceuticals, made an offer to purchase TBET stocks not owned by him for $3.00 per share in cash.
Mr. Hong Yu commented:
“In recent days, we noticed that a website mentioned about auctioning our operating entity’s assets. These were untrue and incorrect announcements. Our company is in normal business operation. We’re conducting our investigation on this mistaken report, and will keep our investors informed on the investigation result. The Company will take all necessary legal measures to defend itself against any untrue reports and to protect the interests of shareholders.”
Mr. Hong Yu owns 3,280,000 shares of TBET’s common stock or 22.1% ownership in the company according to the latest filings. Accounting that Tibet Pharmaceuticals has $1.75 per share in net cash the cost of ownership to Mr. Hong will be $1.25/share rather than $3.
We anticipate that the deal will be done in a matter of weeks.
Tibet Pharmaceuticals, Inc.
90 Jaffe Rd., Room 1701, 17/F
Wanchai, Hong Kong
Tel: +86 15010156497
Based in Shangri-La County, in Yunnan Province, China, Tibet Pharmaceuticals, Inc. (Nasdaq: TBET) is a growing and profitable specialty pharmaceutical company engaged in the research, development, manufacturing and marketing of modernized traditional Tibetan medicines.
All of its current products are offered and derived from Tibetan based traditional medicines and are manufactured by Tibet Pharmaceuticals using plant-based natural materials, particularly the herbs and minerals found in the high-latitude, low-temperature, and pollution-free environment of the Qinghai-Tibet Plateau. Tibet Pharmaceuticals sells five major prescription and over-the-counter Tibetan medicine products, each of which has certain medicinal functions and has demonstrated safety and efficacy in accordance with China’s SFDA requirements.