Appleby Advised Shanghai Zendai’s Disposal of Richtex and Long Profit Transactions
08 May, 2014
Leading offshore law firm Appleby acted as Bermuda and BVI counsel to Shanghai Zendai Property Limited (Shanghai Zendai), a Bermuda company listed on the Main Board of the Hong Kong Stock Exchange (stock code: 755), in respect to two recent transactions.
First, Appleby advised Shanghai Zendai in the disposal of 20% of shares of Richtex Holdings Limited (Richtex), a BVI company, for a consideration of RMB 200 million. Appleby also advised on the disposal of interest of Long Profit Group Limited (Long Profit) through share issuance and grant of put option, in favour of another two BVI companies, which are wholly-owned by China Orient Asset Management Corporation (China Orient). The proceeds of the two transactions were approximately HK$251 million for Richtex’s Disposal and approximately HK$2.3 billion for Long Profit’s disposal.
The Appleby team was led by Tan Li-Lee, counsel in Appleby’s Hong Kong office, assisted by associate Vincent Chan. Appleby assisted in reviewing the relevant share purchase, investor rights, finance and security documents within the context of Bermuda and BVI law. Morrison & Foerster advised China Orient while Peter C. Wong, Chow & Chow advised Shanghai Zendai as to Hong Kong laws.
About Shanghai Zendai – Shanghai Zendai is a conglomerate, principally engaged in construction of commercial and residential properties for sale, ownership and operation of hotel business, leasing, management and agency of commercial and residential properties in the PRC. It has approximately 7200 employees and owns assets totalling in RMB 30 billion.