0001193125-11-312078.txt : 20111115 0001193125-11-312078.hdr.sgml : 20111115 20111115061334 ACCESSION NUMBER: 0001193125-11-312078 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 2 FILED AS OF DATE: 20111115 DATE AS OF CHANGE: 20111115 GROUP MEMBERS: CE LUE INVESTMENTS LTD GROUP MEMBERS: CREDIT SUISSE TRUST LTD AS TRUSTEE OF THE GRRF TRUST GROUP MEMBERS: HENG XING YUE INVESTMENTS LTD GROUP MEMBERS: TARGET GROWTH HOLDINGS LTD GROUP MEMBERS: YINGJIE GAO SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: China GrenTech CORP LTD CENTRAL INDEX KEY: 0001347510 STANDARD INDUSTRIAL CLASSIFICATION: RADIO TELEPHONE COMMUNICATIONS [4812] IRS NUMBER: 000000000 STATE OF INCORPORATION: E9 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-82439 FILM NUMBER: 111205507 BUSINESS ADDRESS: STREET 1: 15TH FLOOR, BLOCK A, GUOREN BUILDING STREET 2: KEJI CENTRAL 3RD ROAD, NANSHAN DISTRICT CITY: SHENZHEN STATE: F4 ZIP: 518057 BUSINESS PHONE: (86 755) 2663-8900 MAIL ADDRESS: STREET 1: 15TH FLOOR, BLOCK A, GUOREN BUILDING STREET 2: KEJI CENTRAL 3RD ROAD, NANSHAN DISTRICT CITY: SHENZHEN STATE: F4 ZIP: 518057 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: Guoren Industrial Developments LTD CENTRAL INDEX KEY: 0001389818 IRS NUMBER: 000000000 STATE OF INCORPORATION: D8 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 16TH FLOOR, ZHONGYIN TOWER STREET 2: CAITIAN NORTH ROAD, FUTIAN DISTRICT CITY: SHENZHEN STATE: F4 ZIP: 518026 BUSINESS PHONE: 86 755 83501516 MAIL ADDRESS: STREET 1: 16TH FLOOR, ZHONGYIN TOWER STREET 2: CAITIAN NORTH ROAD, FUTIAN DISTRICT CITY: SHENZHEN STATE: F4 ZIP: 518026 SC 13D/A 1 d256058dsc13da.htm SCHEDULE 13D AMENDMENT NO.4 SCHEDULE 13D AMENDMENT NO.4

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

SCHEDULE 13D/A

Under the Securities Exchange Act of 1934

(Amendment No. 4)*

Information to be Included in Statements Filed Pursuant to Rule 13d-1(a) and

Amendments Thereto Filed Pursuant to Rule 13d-2(a)

 

 

CHINA GRENTECH CORPORATION LIMITED

(Name of Issuer)

 

 

Ordinary Shares, Par Value US$0.00002 per share

(Title of Class of Securities)

16938P107

(CUSIP Number)

Yingjie Gao

c/o 16th Floor, Block A, Guoren Building

Keji Central 3rd Road

Hi-Tech Park, Nanshan District

Shenzhen 518057, People’s Republic of China

+(86) 755 2651-6888

With a copy to:

Peter X. Huang

Skadden, Arps, Slate, Meagher & Flom LLP

30th Floor, China World Office 2

No. 1, Jianguomenwai Avenue

Beijing 100004, People’s Republic of China

+(86) 10 6535-5599

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

November 12, 2011

(Date of Event Which Requires Filing of this Statement)

 

 

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box.  ¨

Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See §240.13d-7 for other parties to whom copies are to be sent.

 

* The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934 (“Act”) or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).

 

 

 


SCHEDULE 13D

 

CUSIP No.     16938P107   Page 2 of 10 Pages

 

  (1)   

Name of reporting person:

 

Guoren Industrial Developments Limited

  (2)  

Check the appropriate box if a member of a group

(a)  x        

(b)  ¨

  (3)  

SEC use only

 

  (4)  

Source of funds

 

OO, AF, WC

  (5)  

Check box if disclosure of legal proceedings is required pursuant to Item 2(d) or 2(e):

 

¨

  (6)  

Citizenship or place of organization

 

British Virgin Islands

Number of

shares

beneficially

owned by

each

reporting

person

with

     (7)    

Sole voting power

 

0

     (8)   

Shared voting power

 

183,195,375 ordinary shares

     (9)   

Sole dispositive power

 

0

   (10)   

Shared dispositive power

 

183,195,375 ordinary shares

(11)

 

Aggregate amount beneficially owned by each reporting person

 

183,195,375 ordinary shares

(12)

 

Check box if the aggregate amount in Row (11) excludes certain shares

 

¨

(13)

 

Percent of class represented by amount in Row (11)

 

32.5%

(14)

 

Type of reporting person

 

CO


SCHEDULE 13D

 

CUSIP No.    16938P107   Page 3 of 10 Pages

 

  (1)   

Name of reporting person:

 

Heng Xing Yue Investments Limited

  (2)  

Check the appropriate box if a member of a group

(a)  x        

(b)  ¨

  (3)  

SEC use only

 

  (4)  

Source of funds

 

OO, AF, WC

  (5)  

Check box if disclosure of legal proceedings is required pursuant to Item 2(d) or 2(e):  

 

¨

  (6)  

Citizenship or place of organization

 

British Virgin Islands

Number of

shares

beneficially

owned by

each

reporting

person

with

     (7)    

Sole voting power

 

0

     (8)   

Shared voting power

 

183,195,375 ordinary shares

     (9)   

Sole dispositive power

 

0

   (10)   

Shared dispositive power

 

183,195,375 ordinary shares

(11)

 

Aggregate amount beneficially owned by each reporting person

 

183,195,375 ordinary shares

(12)

 

Check box if the aggregate amount in Row (11) excludes certain shares     

 

¨

(13)

 

Percent of class represented by amount in Row (11)

 

32.5%

(14)

 

Type of reporting person

 

CO


SCHEDULE 13D

 

CUSIP No.    16938P107   Page 4 of 10 Pages

 

  (1)   

Name of reporting person:

 

Yingjie Gao

  (2)  

Check the appropriate box if a member of a group

(a)  x        

(b)  ¨

  (3)  

SEC use only

 

  (4)  

Source of funds

 

OO, AF, WC

  (5)  

Check box if disclosure of legal proceedings is required pursuant to Item 2(d) or 2(e):  

 

¨

  (6)  

Citizenship or place of organization

 

People’s Republic of China

Number of

shares

beneficially

owned by

each

reporting

person

with

     (7)    

Sole voting power

 

0

     (8)   

Shared voting power

 

183,195,375 ordinary shares

     (9)   

Sole dispositive power

 

0

   (10)   

Shared dispositive power

 

183,195,375 ordinary shares

(11)

 

Aggregate amount beneficially owned by each reporting person

 

183,195,375 ordinary shares

(12)

 

Check box if the aggregate amount in Row (11) excludes certain shares    

 

¨

(13)

 

Percent of class represented by amount in Row (11)

 

32.5%

(14)

 

Type of reporting person

 

IN


SCHEDULE 13D

 

CUSIP No.    16938P107   Page 5 of 10 Pages

 

  (1)   

Name of reporting person:

 

Ce Lue Investments Limited

  (2)  

Check the appropriate box if a member of a group

(a)  x        

(b)  ¨

  (3)  

SEC use only

 

  (4)  

Source of funds

 

OO, AF, WC

  (5)  

Check box if disclosure of legal proceedings is required pursuant to Item 2(d) or 2(e):  

 

¨

  (6)  

Citizenship or place of organization

 

British Virgin Islands

Number of

shares

beneficially

owned by

each

reporting

person

with

     (7)    

Sole voting power

 

0

     (8)   

Shared voting power

 

183,195,375 ordinary shares

     (9)   

Sole dispositive power

 

0

   (10)   

Shared dispositive power

 

183,195,375 ordinary shares

(11)

 

Aggregate amount beneficially owned by each reporting person

 

183,195,375 ordinary shares

(12)

 

Check box if the aggregate amount in Row (11) excludes certain shares    

 

¨

(13)

 

Percent of class represented by amount in Row (11)

 

32.5%

(14)

 

Type of reporting person

 

CO


SCHEDULE 13D

 

CUSIP No.    16938P107   Page 6 of 10 Pages

 

  (1)   

Name of reporting person:

 

Target Growth Holdings Limited

  (2)  

Check the appropriate box if a member of a group

(a)  x        

(b)  ¨

  (3)  

SEC use only

 

  (4)  

Source of funds

 

OO, AF, WC

  (5)  

Check box if disclosure of legal proceedings is required pursuant to Item 2(d) or 2(e):  

 

¨

  (6)  

Citizenship or place of organization

 

Commonwealth of the Bahamas

Number of

shares

beneficially

owned by

each

reporting

person

with

     (7)    

Sole voting power

 

0

     (8)   

Shared voting power

 

183,195,375 ordinary shares

     (9)   

Sole dispositive power

 

0

   (10)   

Shared dispositive power

 

183,195,375 ordinary shares

(11)

 

Aggregate amount beneficially owned by each reporting person

 

183,195,375 ordinary shares

(12)

 

Check box if the aggregate amount in Row (11) excludes certain shares     

 

¨

(13)

 

Percent of class represented by amount in Row (11)

 

32.5%

(14)

 

Type of reporting person

 

CO


SCHEDULE 13D

 

CUSIP No.    16938P107   Page 7 of 10 Pages

 

  (1)   

Name of reporting person:

 

Credit Suisse Trust Limited as Trustee of the GRRF Trust

  (2)  

Check the appropriate box if a member of a group

(a)  x        

(b)  ¨

  (3)  

SEC use only

 

  (4)  

Source of funds

 

OO, AF, WC

  (5)  

Check box disclosure of legal proceedings is required pursuant to Item 2(d) or 2(e):  

 

¨

  (6)  

Citizenship or place of organization

 

Republic of Singapore

Number of

shares

beneficially

owned by

each

reporting

person

with

     (7)    

Sole voting power

 

0

     (8)   

Shared voting power

 

183,195,375 ordinary shares

     (9)   

Sole dispositive power

 

0

   (10)   

Shared dispositive power

 

183,195,375 ordinary shares

(11)

 

Aggregate amount beneficially owned by each reporting person

 

183,195,375 ordinary shares

(12)

 

Check box if the aggregate amount in Row (11) excludes certain shares    

 

¨

(13)

 

Percent of class represented by amount in Row (11)

 

32.5%

(14)

 

Type of reporting person

 

CO


This Amendment No. 4 to Schedule 13D (this “Amendment No. 4”) is filed with respect to China Grentech Corporation Limited (the “Company” or “Issuer”) jointly by Guoren Industrial Developments Limited (“Guoren Industrial”), Heng Xing Yue Investments Limited (“HXY”), Mr. Yingjie Gao (“Mr. Gao”), Ce Lue Investments Limited (“Ce Lue”), Target Growth Holdings Limited (“Target Growth”) and Credit Suisse Trust Limited as Trustee of the GRRF Trust (“Trustee”). Guoren Industrial, HXY, Mr. Gao, Ce Lue, Target Growth and Trustee are collectively referred to herein as the “Reporting Persons.”

This Amendment No. 4 amends and supplements the statement on Schedule 13D filed on February 12, 2008 on behalf of the reporting persons named therein with the United States Securities and Exchange Commission, as amended on September 9, 2008, January 19, 2010 and October 18, 2011 (the “Schedule 13D”). Except as provided herein, this Amendment No. 4 does not modify any of the information previously reported on the Schedule 13D. Capitalized terms used but not defined herein have the meanings assigned to them in the Schedule 13D.

 

ITEM 3. SOURCE AND AMOUNT OF FUNDS OF OTHER CONSIDERATION

Item 3 of the Schedule 13D is hereby amended and supplemented by adding the following at the end thereof:

The Reporting Persons intend to finance the Proposed Transaction (as defined below) primarily through debt financing.

 

ITEM 4. PURPOSE OF TRANSACTION

Item 4 of the Schedule 13D is hereby amended and supplemented by adding the following at the end thereof:

On November 12, 2011, Mr. Gao, on behalf of himself, submitted a preliminary non-binding proposal (the “Proposal”) to the board of directors of the Company (the “Board”) for the acquisition of all of the outstanding ordinary shares of the Company and American Depositary Shares (“ADS”), each representing 25 ordinary shares of the Company, that are not currently owned by Mr. Gao (the “Proposed Transaction”) through an acquisition vehicle to be formed by Mr. Gao for the purpose of pursuing the Proposed Transaction.

In the Proposal, Mr. Gao proposed to acquire all of the outstanding ordinary shares Company and ADSs held by shareholders, other than himself and certain members of the management and affiliated entities who will continue to hold equity, for $0.124 per ordinary share and $3.10 per ADS, which represents a premium of 21.1% to the Company’s closing price on November 11, 2011 and a premium of 45.0% to the volume-weighted average closing price during the 60 trading days prior to November 11, 2011.

Mr. Gao intended to finance the Proposed Transaction primarily with debt financing and has held preliminary discussions with Guotai Junan Finance (Hong Kong) Limited (“Guotai”) in this regard. Guotai has issued to Mr. Gao on November 12, 2011 a highly confident letter (the “Highly Confident Letter”) stating its preliminary indication of interest to potentially provide debt financing as specified in such letter to finance the Proposed Transaction. References to the Highly Confident Letter are qualified in their entirety by reference to the Highly Confident Letter itself, a copy of which is attached hereto as Exhibit 99.3 and incorporated herein by reference as if set forth in its entirety.

Mr. Gao also indicated in the Proposal that he is prepared to negotiate and finalize the terms of the Proposed Transaction in definitive transaction documents, which will provide for covenants and conditions typical and appropriate for transactions of this type.

The Proposal also provided that no binding obligation on the part of the Company or Mr. Gao shall arise with respect to the Proposed Transaction unless and until definitive agreements have been executed.

The foregoing summary of certain provisions of the Proposal is not intended to be complete. References to the Proposal in this Amendment No. 4 are qualified in their entirety by reference to the Proposal itself, a copy of which is attached hereto as Exhibit 99.4 and incorporated herein by reference as if set forth in its entirety.

If the Proposed Transaction is completed, the Company’s ADSs would become eligible for termination of registration pursuant to Section 12(g)(4) of the Securities Act and would be delisted from the NASDAQ Global Select Market.

 

Page 8 of 10


Except as indicated above and elsewhere herein, none of the Reporting Persons have any present plan or proposal that relates to or would result in any other action specified in clauses (a) through (j) of the instructions to Item 4 on Schedule 13D (although they reserve the right to develop such plan or proposal).

 

ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS, OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER.

Item 6 of the Schedule 13D is hereby amended and supplemented by adding the following at the end thereof:

The Proposal described under Item 4 of this Amendment No. 4 is incorporated herein by reference.

 

ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.

Item 7 of the Schedule 13D is hereby amended and supplemented by adding the following at the end thereof:

Exhibit 99.3: Highly Confident Letter from Guotai Junan Finance (Hong Kong) Limited to Mr. Yingjie Gao, dated November 12, 2011 (incorporated herein by reference to Exhibit 99.1 to the Company’s Current Report on Form 6-K filed on November 14, 2011).

Exhibit 99.4: Proposal Letter from Mr. Yingjie Gao to the Board of Directors of China Grentech Corporation Limited, dated November 12, 2011.

 

Page 9 of 10


SIGNATURE

After reasonable inquiry and to the best of its knowledge and belief, the undersigned certifies that the information set forth in this statement is true, complete and correct.

 

    Dated: November 15, 2011
   
    Guoren Industrial Developments Limited
    By:   /s/ Yingjie Gao
    Name:     Yingjie Gao
    Title:   Sole Director
    Heng Xing Yue Investments Limited
    By:   /s/ Yingjie Gao
    Name:   Yingjie Gao
    Title:   Sole Director
    Yingjie Gao
    By:   /s/ Yingjie Gao
    Ce Lue Investments Limited
    By:   /s/ Yingjie Gao
    Name:   Yingjie Gao
    Title:   Sole Director
    Target Growth Holdings Limited
    By:   /s/ Lau Chew Lui         /s/ Silvio Roethlisberger
    Name:   Bukit Merah Limited by its authorized signatories, Lau Chew Lui and Silvio Roethlisberger
    Title:   Corporate Director
    Credit Suisse Trust Limited as Trustee of The GRRF Trust
    By:   /s/ Silvio Roethlisberger         /s/ Mabel Chan
    Name:   Silvio Roethlisberger and Mabel Chan
    Title:   Authorized Signatories
EX-99.4 2 d256058dex994.htm PROPOSAL LETTER FROM MR. YINGJIE GAO Proposal Letter from Mr. Yingjie Gao

Exhibit 99.4

November 12, 2011

Board of Directors

China GrenTech Corporation Limited

15th Floor, Block A, Guoren Building

Keji Central 3rd Road

Hi-Tech Park, Nanshan District

Shenzhen 518057, People’s Republic of China

Dear Sirs:

I, Yingjie Gao, am pleased to submit this preliminary non-binding proposal to acquire all of the outstanding ordinary shares of China GrenTech Corporation Limited (the “Company”) and the American Depositary Shares of the Company (“ADSs”, each ADS representing 25 ordinary shares of the Company), in both cases, that are not currently owned by myself, certain members of the management and my and their affiliates, in a going-private transaction (the “Acquisition”).

I believe that my proposal of $3.10 in cash per ADS and $0.124 per ordinary share, will provide a very attractive alternative to the Company’s shareholders. My proposal represents a premium of 45.0% to the volume-weighted average closing price during the last 60 trading days and a premium of 21.1% to the Company’s closing price on November 11, 2011.

The terms and conditions upon which I am prepared to pursue the Acquisition are set forth below. I am confident that an Acquisition can be closed on the basis as outlined in this letter.

1. Buyer. I intend to form an acquisition vehicle (“Buyer”) for the purpose of pursuing the Acquisition.

2. Purchase Price. The consideration payable for each ADS or ordinary share of the Company (other than those held by myself, certain members of the management and my and their affiliates) will be $3.10 per ADS and $0.124 per ordinary share, as the case may be, in cash.

3. Financing. I intend to finance the Transaction primarily with debt. I have held preliminary discussions with Guotai Junan Finance (Hong Kong) Limited about financing this Acquisition and have received a “highly confident” letter from them, and I expect commitments for the debt financing, subject to the terms and conditions set forth therein, to be in place when the Definitive Agreements (as defined below) are executed.

4. Due Diligence. Parties providing financing will require a timely opportunity to conduct customary due diligence on the Company.

 

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5. Definitive Agreements. I am prepared to negotiate and finalize definitive agreements (the “Definitive Agreements”) providing for the Acquisition and related transactions very promptly. These documents will provide for covenants and conditions typical and appropriate for transactions of this type.

6. Confidentiality. I will, as required by law, promptly file an amendment to Schedule 13D to disclose this letter. However, I am sure you will agree that it is in all of our interests to ensure that we proceed in a confidential manner, unless otherwise required by law, until we have executed Definitive Agreements.

7. Process. I believe that the Acquisition will provide superior value to the Company’s shareholders. I recognize that the Board will evaluate the proposed Acquisition independently before it can make its determination to endorse it. Given my involvement in the proposed Acquisition, I also recognize that independent members of the Board will proceed to consider the proposed Acquisition. In considering my offer, you should be aware that I am interested only in acquiring the outstanding shares of the Company that I do not already own, and that I do not intend to sell my stake in the Company to a third party.

8. Advisors. I have engaged Skadden, Arps, Slate, Meagher & Flom LLP as my legal counsel in connection with the Transaction.

9. No Binding Commitment. This letter constitutes only a preliminary indication of my interest, and does not constitute any binding commitment with respect to an Acquisition. Such a commitment will result only from the execution of Definitive Agreements, and then will be on the terms provided in such documentation.

In closing, I would like to personally express my commitment to working together with the Board to bring this Acquisition to a successful and timely conclusion. Should you have any questions regarding this proposal, please do not hesitate to contact me. I look forward to hearing from you.

 

Sincerely,
/s/ Yingjie Gao
Yingjie Gao

 

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