Jingwei International Shareholder Alert: The Briscoe Law Firm and Powers Taylor, LLP Investigate the Board of Jingwei Concerning the Receipt of a Going Private Proposal

DALLAS, Jan. 24, 2012 /PRNewswire/ -- Former United States Securities and Exchange Commission attorney Willie Briscoe and the securities litigation firm of Powers Taylor, LLP are investigating potential claims against the Board of Directors of Jingwei International Limited ("Jingwei" or "JNGW") (NASDAQ: JNGW) concerning the board's receipt of an unsolicited going-private proposal from George (Jianguo) Du, Jingwei's current Chairman and CEO. 

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If you are an affected investor, and you want to learn more about the investigation or if you have information that you believe would be helpful to the determination of the fairness of the proposed transaction, contact Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at [email protected], or Willie Briscoe at The Briscoe Law Firm, PLLC, (214) 706-9314, or via email at [email protected].  There is no cost or fee to you.

According to a recent Form 8-K filed by Jingwei with the U.S. Securities and Exchange Commission, Mr. Du, who is the company's current Chairman of the Board and CEO, submitted a written proposal to acquire the remaining shares of Jingwei's common stock by effecting a 1-for-50,000 reverse stock split of its outstanding common shares, followed by a cancellation of all fractional shares below one share at a per share price of $1.56. Under the proposal, Jingwei would voluntarily de-list from the NASDAQ Global Market to complete the transaction. 

The investigation centers on whether Jingwei's Board of Directors is acting in the shareholders' best interests, whether the board is properly negotiating a higher share price for the shareholders, and whether the board has employed an adequate process to review and act on the proposed transaction. 

"Because Mr. Due is not only the Chairman of the Board, but also the Chief Executive Officer of Jingwei, and also an owner of approximately 41.1% of the company's outstanding shares, our investigation is focused on whether the price offered is below the inherent value of Jingwei International/JNGW stock," said shareholder rights attorney Willie Briscoe. Jingwei shares traded as high as $2.85 per share as recently as July 25, 2011, and Jingwei recently reported a book value of $2.08 per share.  "Based on these and other factors, we are concerned whether Jingwei's Board of Directors is doing everything possible to maximize shareholder value and negotiate a better price for the shareholders," said Briscoe.

The Briscoe Law Firm, PLLC is a full service business litigation and shareholder rights advocacy firm with more than 20 years of experience in complex litigation and transactional matters.

Powers Taylor, LLP is a boutique litigation law firm that handles a variety of complex business litigation matters, including claims of investor and stockholder fraud, shareholder oppression, shareholder derivative suits, and security class actions.

SOURCE Powers Taylor, LLP

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