Baker McKenzie acted as Hong Kong and US law counsel to the manager of SF Real Estate Investment Trust (“SF REIT”) on the successful global offering and listing of SF REIT on the Hong Kong Stock Exchange on 17 May.
SF REIT is sponsored by SF Holding (Stock Code: 002352.SZ), the largest express delivery company in China, and represents an important milestone in the development of the Hong Kong REIT market as the city's first logistics-focused REIT. The REIT’s initial portfolio comprises three strategically-located modern logistics properties in Hong Kong, Foshan and Wuhu.
Baker McKenzie fielded a multidisciplinary team for the deal that included Jeremy Ong (REITs), partners Ivy Wong (Capital Markets), Dorothea Koo (Private Equity/M&A), Grace Fung (Financial Services), Debbie Cheung (Real Estate) and Simon Leung (Finance); and associates Isaac Yeung, Cynthia Lam, and William Cho.
Commenting on the deal, Jeremy Ong, who leads the Baker McKenzie REIT team in Hong Kong said: "We are delighted to have had the opportunity to act for SF REIT on this significant offering. In this year’s budget speech, the Hong Kong government announced that it is committed to developing the REIT market in Hong Kong and reinforcing the city’s role as a premier capital raising centre. Not only is SF REIT the first logistics-focused REIT listed in Hong Kong, adding valuable diversity to the sector, but it is also the first such listing after recent policies introduced to support the Hong Kong REIT market, including the new Hong Kong REIT Code published in December 2020.”
Ivy Wong, Asia Pacific chair of Baker McKenzie's Capital Market Practice, said: "We could not be more pleased to have been able to bring our full service capabilities to the table and advise our client towards a successful REIT listing. With its reputable sponsor and pipeline opportunities, we have no doubt that SF REIT will continue to offer diversities and further growth potentials to the Hong Kong REIT market.”
Baker McKenzie's Asia Pacific REIT Practice has been at the forefront of ground-breaking REIT transactions in Asia. The practice has been involved in almost all significant transactions to date involving Hong Kong-listed REITs, including their IPOs, follow-on acquisitions and disposals, equity and debt capital raisings, takeover defense and licensing/regulatory matters. Hong Kong-based clients of the practice include Link REIT, Champion REIT, Yuexiu REIT, China Merchants Commercial REIT, Spring REIT, Prosperity REIT, Fortune REIT, Hui Xian REIT and Regal REIT. The practice has also advised on other significant REIT-related deals in Asia Pacific.