China Zenix Auto International Announces Receipt of Restructuring Proposal

PR Newswire

ZHANGZHOU, China, Nov. 25, 2013 /PRNewswire/ -- China Zenix Auto International Limited (ZX) ("Zenix Auto" or "the Company"), the largest commercial vehicle wheel manufacturer in China in both the aftermarket and OEM market by sales volume, announced today that its board of directors has received a preliminary non-binding proposal for a business restructuring of the Company from Mr. Jianhui Lai, the chairman of the Company's board of directors and chief executive officer, and RichWise International Investment Group Limited and certain of its affiliated entities (together, the "Consortium Members").  According to the proposal letter, the proposed business restructuring would involve a reorganization of the shareholding structure of the Company concurrently with a number of other transactions which, if consummated, would result in a significant change in the Company's business focus, as described in the proposal letter. According to the proposal letter, the Consortium Members currently own in the aggregate approximately 75% of the Company's total outstanding ordinary shares. A copy of the proposal letter is attached hereto as Exhibit A.

The Company's board of directors intends to convene a meeting to consider this proposal and any additional proposal that may be made by the Consortium Members, if any. There can be no assurance that any definitive proposal will be made, that any agreement will be executed or that any transactions with the Consortium Members will be approved or consummated.

About China Zenix Auto International Limited

China Zenix Auto International Limited is the largest commercial vehicle wheel manufacturer in China in both the aftermarket and OEM market by sales volume. With a large intellectual property portfolio, the Company offers more than 430 series of tubed steel wheels, tubeless steel wheels, and off-road steel wheels in both the aftermarket and OEM market in China and internationally. The Company's customers include group members of a number of large PRC commercial vehicle manufacturers, and it also exports products to over 80 distributors in more than 30 countries worldwide. With five large, strategically located manufacturing facilities in multiple regions across China, the Company has an aggregate annual production capacity of approximately 15.0 million units of steel wheels as of September 30,2013. For more information, please visit: http://www.zenixauto.com/en.

Safe Harbor

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. The Company may make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement. Further information regarding these risks is included in our filings with the SEC. The Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.  All information provided in this press release and in the attachments is as of the date of the press release, and the Company undertakes no duty to update such information, except as required under applicable law.  

For more information, please contact

Investor Contact:
Kevin Theiss / Shiwei Yin
Grayling
Tel: +1-646-284-9409
Email: kevin.theiss@grayling.com 
shiwei.yin@grayling.com

Media Contact:
Ivette Almeida
Grayling
Tel: +1-917-302-9946
Email: ivette.almeida@grayling.com

Exhibit A:
http://www.prnasia.com/sa/attachment/2013/11/20131125224014256500.pdf

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