HLS Systems International, Ltd., a holding company headquartered in China and registered in BVI, announced the establishment of a share repurchase program for the company to purchase up to 3 mln shares of its common stock on the open market.
The expiration date of the stock repurchase is set as March 31, 2010. The program will be financed by HLS’ cash flow from operation, and the timing of such purchases will be determined by HLS’ management. HLS’ CEO Dr. Changli Wang commented on the share repurchase saying that it is a “strong demonstration of their commitment to leveraging the strong cash position in order to maximize long-term returns for the shareholders.”
Also, the BVI company cancelled its incentive share plan, which was part of the merger agreement between Gifted Time Holdings and Chardan North Acquisition Corp., and which totaled 7 million remaining shares in aggregate for the years of 2009, 1010 and 2011, through the immediate issuance of 4 million shares to its Chinese subsidiaries’ original selling shareholders. Under the terms of this agreement, in which HLS Systems International was created, the company was obligated to issue to the original selling shareholdersup to 11 million shares over 5 years.