BEIJING, Dec. 3, 2015 /PRNewswire/ -- Jiangsu Sanyou Group Co Ltd (SZSE: 002044, "Jiangsu Sanyou", also known as Meinian Onehealth Healthcare (Group) Co., Ltd, "Meinian") on behalf of the consortium of which it is a member ("the Consortium") acknowledges iKang Healthcare Group, Inc.'s (NASDAQ: KANG, "iKang") announcement of a Rights Agreement (the "Rights Plan", commonly known as a "poison pill").
Our Consortium is disappointed by the decision of iKang's Board of Directors to adopt the Rights Plan. A Rights Plan such as this is widely considered poor corporate governance and denies iKang shareholders a voice in deciding the company's future. This action is also completely unnecessary given Meinian's approach has been friendly from the outset. And we are open-minded and flexible with respect to the potential structure of the Transaction.
We are pleased to see that iKang's Special Committee said it will carefully consider and evaluate our proposal, which is at a 23.6% premium to the Insider Proposal and offers compelling value to shareholders. We hope that the board's recent decision does not reflect any bias against our offer. In the meantime, we encourage iKang shareholders to voice their views on this matter to iKang's Special Committee and protect their own interests. We continue to welcome the opportunity to engage with iKang's Special Committee to achieve an outcome that is beneficial to both the company and its shareholders.
As leading players in China's fast growing preventive healthcare market, a combination of Meinian and iKang would build a powerful and complementary alliance, creating a strong leaders in a currently fragmented market. Such an alliance would help optimize the structure of the industry, promote the healthy development of the sector, and bring greater convenience to customers, thereby delivering benefits to both companies' shareholders.
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About Jiangsu Sanyou and Meinian
On August 2015, Meinian Onehealth Healthcare (Group) Co., Ltd ("Meinian") became an A share listed company through the merger with listing of Jiangsu Sanyou. Meinian is one of the largest preventive healthcare service providers in China, with more than 100 self-owned medical examination centers in more than 50 core cities in China. In 2014, Meinian provided its services to almost six million customers. Leveraging its high quality and professional medical examination services, Meinian also provides high quality healthcare management services, including preventive healthcare and wellness maintenance, to its corporate and individual customers
SOURCE Meinian Onehealth Healthcare (Group) Co., Ltd