Freshfields Bruckhaus Deringer and Sullivan & Cromwell are acting on Taiwan-listed Asia Cement’s HKD1.6 billion privatisation of its Hong Kong-listed subsidiary, Asia Cement (China), through a scheme of arrangement.
Asia Cement proposed to wholly own its subsidiary by acquiring the remaining 32.77% of equity at HKD3.22 per share. Once the privatisation is completed, Asia Cement (China) will be delisted from the HKEX.
Freshfields’ partners Teresa Ko and Philip Li led the team, advising Asia Cement, while partner Thomas Ng was providing legal advice to the main team on financing.
The project’s financial adviser UBS appointed Sullivan & Cromwell’s Beijing managing partner Gwen Wong and her team as legal counsel.
Asia Cement focuses on manufacturing, wholesale, and trade of cement and ready-mixed concrete. In 2004, it established Asia Cement (China) and the subsidiary was listed on HKEX four years later.
Asia Cement said the privatisation was expected to reduce the expenditure on administrative and management costs for maintaining its subsidiary’s listing. It also provides an exit opportunity for current shareholders.
