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9 June 2016 By Robyn Mak Follow @mak_robyn

The Alibaba boss’s buyout firm is bidding $1.4 bln-plus for U.S.-listed iKang. His minimum bid is 20 pct cheaper than an unfriendly approach from a rival, now dropped, which iKang’s CEO countered with a poison pill. Unless Ma pays more, outside investors will feel pretty icky.

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China’s Meinian Onehealth Healthcare on June 8 withdrew a takeover bid for U.S.-listed rival iKang Healthcare Group. A day earlier, Chief Executive Ligang Zhang had dropped a competing proposal to take iKang private.

On June 6, iKang said it had received a non-binding proposal from Yunfeng Capital, a private equity firm co-founded by Alibaba Chairman Jack Ma. Yunfeng is proposing to pay $20 to $25 per share. Meinian’s final proposal was $25 per share while Zhang’s offer was at $17.80.

Zhang and his backers submitted their original non-binding proposal in August 2015. Shenzhen-listed Meinian and partners made their first approach three months later. Alibaba subsequently joined Zhang’s consortium.

Shares of U.S.-listed iKang closed down 1.1 percent at $19.75 on June 8.

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