Baker McKenzie assisted Shoucheng Holdings Limited (stock code: 697) (“Shoucheng Holdings”) in raising approximately HKD 600 million through the placement of new shares.
The net proceeds from the share placement will be used for the rollout of its technology experience stores and the expansion of new business lines in asset operation, as well as for general working capital purposes. Please refer to the company’s announcement for further details about the deal.
This transaction marks the second fundraising that Baker McKenzie has assisted Shoucheng Holdings with this year. The Firm also advised Shoucheng Holdings on the issuance of USD180 million convertible bonds due 2026, with a coupon rate of 0.75% per annum.
The deal team is composed of lawyers from Baker McKenzie and FenXun, a premier Chinese law firm that established a joint operation office with Baker McKenzie in China under the name Baker McKenzie FenXun in 2015. Led by Capital Markets Partners Christina Lee from Baker McKenzie and Yolanda Zheng from FenXun, the core team included Special Counsel Bonnie Lau, Associates Phoebe Wang and Jason Wong from Baker McKenzie and Partner Yingfei Yang and Associate Xiaodan Yang from FenXun.
Commenting on the deal, Christina, who is the co-chair of Baker McKenzie’s Asia Pacific Capital Markets Practice, said: "This transaction will provide the company with new capital as it strives to achieve its vision of ‘bringing technology into everyday life.’ We greatly value the opportunity to have assisted Shoucheng Holdings in this transaction, having also advised them on their convertible bonds issuance earlier this year.”
Yolanda added: “Our involvement in these deals highlights the breadth and depth of our capital markets capabilities and our ability to combine the strength of Baker McKenzie and FenXun to offer seamless international and PRC law advice that our clients highly value.”
Guotai Junan Securities (Hong Kong) Limited acted as the sole overall coordinator and placing agent for the transaction.
Baker McKenzie is one of the leading firms for complex transactions, providing strategic advice on deals involving the world's leading financial institutions and multinational companies. The Firm regularly advises target companies, offerors, selling shareholders and financial advisers on the acquisition and disposal of companies listed on stock exchanges in key major financial centers, as well as issuers on their proposed listing and fundraising activities in different jurisdictions. With many of its lawyers enjoying established working relationships with local regulators in Hong Kong and other key markets, the Firm is well-positioned to guide clients through every stage of the process — providing valuable insights on regulatory developments that may affect the value and feasibility of cross-border transactions, as well as on ongoing compliance matters. The team also assists listed companies in the restructuring of shareholdings, the use of stock as consideration, and the execution of block trades. Moreover, the team has extensive experience in advising clients on cross-border capital fundraising through various schemes, including the Shanghai-London Stock Connect and the China-Switzerland Stock Connect.