CHR Receives Two Competing Buyout Proposals—Board Forms Special Committee to Evaluate Next Steps

Buyout Proposals Range Up to $0.56 Per Share—Significant Premium to Market Price

Cheer Holding (NASDAQ: CHR) disclosed this morning that its board has received two preliminary non-binding proposals to acquire all its outstanding Class A ordinary shares. Zhongsheng Dingxin Investment Fund Management (Beijing) Co., Ltd., an existing shareholder, is offering $0.56 per share, while Excel Ally Ventures Limited proposes $0.52 per share. With CHR stock trading at $0.26 as of 09:51 AM, both offers represent substantial premiums for shareholders to consider.

Special Committee of Independent Directors Tasked With Evaluating Offers

The CHR board is not rushing to accept either bid. Instead, a special committee composed entirely of independent directors will lead a formal evaluation, seeking guidance from external financial and legal advisors. The company emphasized that these are initial, non-binding proposals, with no guarantee of a definitive deal or even an official offer.

Substantial Upside Versus Market—But Caution Advised

While the premiums in both proposals are striking, shareholders should remember the uncertainty baked into early-stage bids like these. CHR’s board has yet to make a recommendation, and competing offers or alternative transactions may still emerge. In the meantime, shareholders have been urged not to assume that any buyout will proceed at the prices offered—or at all.

Key Takeaway: Shareholders Face High-Potential but Uncertain Outcomes

For current shareholders, the arrival of two unsolicited bids is a signal to stay alert. With offers more than doubling the stock’s current trading price, there is clear interest in the company’s assets and growth prospects. The real question is whether these preliminary overtures translate into a binding, completed transaction—and at what ultimate price.

CHR will file full proposal details with the SEC, and updates will be limited to legally required disclosures. For investors, this is a developing story worth watching closely as the special committee embarks on its review.

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