IE 11 is not supported. For an optimal experience visit our site on another browser.

Xinhua sells $30 million in shares

China-based media company Xinhua Media Limited said Tuesday it sold $30 million in convertible preferred shares to investment group Yucaipa Cos.
/ Source: The Associated Press

China-based media company Xinhua Media Limited said Tuesday it sold $30 million in convertible preferred shares to investment group Yucaipa Cos.

The conversion price is set at $6 per American Depositary Receipt, which represents a premium of 31 percent to the stock's closing price Friday of $4.58. Yucaipa was also granted one seat on the company's board as long as it holds half of the newly issued shares.

Yucaipa, which already owns $27.5 million in Xinhua stock, will own about 12 percent of Xinhua when it fully converts the offering to shares.