Bona Film Group, one of China’s leading film production and distribution companies, has revealed it has received a non-binding offer to go private from Bona founder, chairman and chief exec Yu Dong, Sequoia Capital China I LP and Fosun International Limited. Bona floated on the Nasdaq exchange in December 2010 at $8.50 per American Depository Share. The current offer values the stock at $13.70 per American Depositary share, equivalent to $27.40 per ordinary share.
Bona is the latest Chinese company to consider exiting U.S. markets amidst more stringent regulatory controls. Last Decemvber, Bona joined forced with private equity firm Tembusu Partners and Singapore media entrepreneur Calvin Cheng to launch a $100M fund aimed at China’s media and entertainment industry. The Media Entertainment Fund will be based in Singapore and is intended as the first such non-Reminbi-dominated fund to invest in China’s media and entertainment sector.
In July last year, Fox sold its 19.3% stake in the company back to Bona. Fosun, which ultimately acquired Fox’s stake, also made a significant investment in Jeff Robinov’s Studio 8.