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Motley Fool Global Gains / GGS: Yongye International

URL:  https://boards.fool.com/writing-the-special-committee-against-buyout-31190839.aspx

Subject:  Writing the Special Committee Against Buyout Date:  4/1/2014  9:27 AM
Author:  mekong22 Number:  4072 of 4235

sorry, this is a repeat of my post in forbes' thread but I think this is important enough that I should have just started a new thread, so here is a copy/paste. No changes from what is in my last post if you already read that:


I wasn't able to finish my letter this weekend, but should hopefully have it done tonight.

If someone really wants to see my letter, you can message me and I'll send you a copy when complete, but I probably prefer for everyone to start with a blank canvas, noting some of the themes I mentioned above along with the other good posts by wouter and others on this board in recent months. I fully expect that some of you will come up with really good arguments that I wouldn't have thought of, so it's better, in some ways, not to start out with my pre-drafted outline.

I encouraged you to get started now, note that the contact information, names of special committee, etc are all in my original letter which is posted here:

http://boards.fool.com/special-committee-letter-30337531.asp......

This has the address of their office and the names of the SC members.

Email your letter to Kelly Wang and Wendy Xuan at Yong investor relations ir@yongyeintl.com as well as John Capodanno at FTIConsulting yong@fticonsulting.com. You should also send a copy to Cleary Gottlieb, Steen & Hamilton LLP who are the legal counsel to the special committee, although I don't see an email address for them online.

In addition to emailing, I also mailed hard copies of my letters to the following. Note that it is expensive to fedex something to China (close to $100 if I remember right), but it could have taken a long time to get there via usps, so I thought it was worth it. If you are concerned about the expense, you may want to consider only mailing hard copies to FTI consulting and Cleary Gottlieb, and just emailing a copy to the special committee. Just be sure to follow up with FTI consulting so they confirm that the letter was passed on to the SC (they did confirm for me last time). There is also a fax number for the YONG office in China here http://www.yongyeintl.com/Contact_Us.html if you'd like to try that as well

1) (special committee at YONG corporate office)

Special Committee of The Board of Directors of
Yongye International, Inc.
6th Floor, Suite 608, Xue Yuan International Tower
No. 1 Zhichun Road, Haidian District
Beijing, China

2) (fti consulting)

John Capodanno
FTI Consulting
88 Pine Street, 32nd Floor
New York, NY, 10005

3) (cleary gottlieb)

Legal Counsel to the Special Committee of Yongye International, Inc.
Cleary Gottlieb, Steen & Hamilton LLP
One Liberty Plaza
New York, NY 10006

I highly suggest sending your letters this week, preferably earlier in the week to ensure that it gets to them before they make a snap decision. If they accept the offer before getting your letter, it won't hold much weight either with the special committee, their legal counsel, or any class action lawsuits, if needed.

Like I said, keep the letters professional, unemotional. Specify that you are a shareholder and how long you have owned shares. Make it clear upfront that you do not believe that the offer is in the best interests of shareholders, lay out your reasoning in subsequent paragraphs, and then reiterate that it is not a fair offer and substantially undervalues the company when concluding at the end. Print and hand sign your letter. Include contact info if they have any questions (I would be shocked if they contact you, but it will come in handy if the offer is accepted and class action lawyers obtain your letters through discovery and want to speak to us, just to make sure we are real people that separately sent letters, to boost their case)

And send it via both email and hard copy mail to the special committee, fti consulting, and cleary gottlieb, if you can.

mekong
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