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Chinese HR company 51job gets US$5.3b takeover approach
[BEIJING] 51job received a takeover approach from DCP Capital Partners that values the Chinese human-resources company at US$5.3 billion.
DCP, an Asian private-equity firm, made a non-binding cash offer of US$79.05 per common share in a letter to the company, 51job said in a statement Thursday. That's 16 per cent higher than Wednesday's closing price.
The American depositary receipts jumped to US$79.11 on Thursday. Through Wednesday, 51job's shares had declined 20 per cent this year.
51job said it hasn't yet had a chance to carefully review and evaluate the offer. Founded in 1998, the company provides recruitment, employee retention and other personnel-related services. The firm has a Wuhan call centre and sales and service locations in more than 30 cities in China.
In the letter, DCP said its managers formerly worked at KKR & Co and Morgan Stanley's private-equity businesses in Asia, and described the proposal as "an attractive opportunity for the company's shareholders amidst a backdrop of ongoing Covid-19 uncertainty."