Harbin Electric Enters Into Merger Agreement to Be Acquired for $24.00 per Share in Cash

Harbin Electric, Inc HRBN today announced that it has entered into a definitive agreement and plan of merger with Tech Full Electric Company Limited, a Cayman Islands company wholly owned indirectly by Mr. Tianfu Yang, the Company's Chairman and Chief Executive Officer, and Tech Full Electric Acquisition, Inc., a Nevada corporation wholly owned by Parent. Under the terms of the Merger Agreement, each of the Company's shares of common stock issued and outstanding immediately prior to the effective time of the merger will be converted into the right to receive $24.00 in cash without interest, except for Shares owned by Parent and Merger Sub and certain of the Company's employees and officers prior to the effective time of the merger pursuant to a contribution agreement between Parent, each member of the Purchasing Group and Tianfu Investments Limited, a Cayman Islands company directly owning 100% of the equity interest in Parent. Collectively, the Purchasing Group beneficially owns approximately 40.6% of the outstanding Shares.