Harbin Electric Soaring On Buyout Bid

Harbin Electric, Inc. HRBN shares are soaring this morning, gaining more than 70% after the company announced again it was going to be taken private for $24 per share. This is not the first time the company has announced this, announcing it first in June, as well as October. The company agreed to be taken private for $24, by its CEO and the company's largest shareholder, Abax Global Capital. CEO Tianfu Yang indirectly owns Tech Full Electric Co. The company has been bantered about recently as a fraud, which is why the share price on Friday was $8.39, well below the $24 per share offer it had previously announced. The Company's Chairman and Chief Executive Officer, Mr. Tianfu Yang, said "I want to thank the Special Committee for its extremely thorough work in reviewing our offer to take the Company private in order to ensure that the interests of all shareholders of the Company are fully protected. I have full confidence that, with the help of its highly respected financial and legal advisors, the Special Committee has thoroughly reviewed and evaluated potential alternatives and has established the credibility of our offer, including the availability of debt financing from China Development Bank Corporation Hong Kong Branch and Abax." "While the events that negatively affected the Company's stock price over the past few months have left all shareholders unhappy and frustrated, I believe that the approval of the transaction by the Board of Directors will lead to shareholder approval and the return of value to all our shareholders who did not lose confidence in the Company and its management. A significant amount of information that is false and misleading as well as defamatory has been introduced into the market, and has clearly affected market trading of the Company's stock. The Company is prepared to take all necessary legal action against those who have made such statements," concluded Chairman Yang. Shares are jumping in pre-market trading, gaining more than 90% to $16.00, a gain of $7.61 in pre-market.