Yongye International, a Chinese fertilizer producer, says the deal has won board approval. The NASDAQ-listed company is now set to be taken private, pending a shareholder vote.
Abax Global Capital, part of the investor consortium when the original bid was submitted last October, has been replaced by Lead Rich International.
The transaction will be financed through a combination of debt and equity.
Yongye International recorded a net income of US$99 million in 2012, up from US$89.8 million in 2011.
A total of 10 private equity-backed privatization deals for U.S.-listed Chinese companies have been completed in the past two years. Another 12 deals are still in process.