Fangda, TianTong, Zhong Lun on restructuring of PKU’s troubled conglomerate
Fangda Partners, TianTong Law Firm and Zhong Lun Law Firm have advised a joint investment body consists of Ping An Insurance (Group) Company of China, Zhuhai Huafa Group and Shenzhen SDG Group on the reorganization plan of Peking University Founder Group which was approved by a Beijing court recently, marking the long-awaited successful reorganization of the conglomerate under China’s top university.
According to Zhong Lun’s press release, founded in 1986, PKU Founder Group has developed into a conglomerate across many sectors including information industry, medical care, real estate, commerce, education and finance, and has nearly 400 affiliated and associated companies and institutions including 6 listed companies with consolidated assets over 300 billion yuan and debts nearly 200 billion yuan, making it one of the most complex and influential bankruptcy reorganization cases in China.
According to TianTong, the investors will contribute at least 53.7 billion yuan as bankruptcy restructuring package to acquire at least 73 percent of the new company. Ping An Group will become the principal shareholder of the new company.
The Fangda team was led by partners Ma Qiang, Su Yi; the TianTong team was led by partners Chi Weihong and Jin Chengfeng; and the Zhong Lun team was led by partner Zhang Decai as general leader, and partner Wang Bing as site leader.
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