Clifford Chance, Paul Hastings, Jia Yuan Law Firm and Grandall Law Firm have advised China’s Huadian Fuxin Energy Corporation (Huadian Fuxin) on its Hong Kong IPO, the city’s second- largest offering in 2012.
Huadian Fuxin, an energy company with power plants in Fujian province and other clean energy projects throughout China, raised about HK$2.48 billion ($319 million) from its issuance of 1.5 billion new shares, which were sold at HK$1.65 each.
Six cornerstone investors, including turbine maker Sinovel Wind Group and a unit of General Electric, bought nearly 60 percent of the Huadian Fuxin IPO, as investment banks increasingly seek to make deals foolproof by covering most of the demand before their launch. The company will debut on the Hong Kong Stock Exchange on June 28.
The Bank of America Merrill Lynch, CITIC Securities, and UBS acted as joint global coordinators on the offer.
Representing the issuer on Hong Kong law and U.S. law was a Clifford Chance team led by Beijing partners Tim Wang and Jean Yu, and Shanghai partner Jean Thio. Huadian Fuxin’s PRC counsel, meanwhile, was Jia Yuan Law Firm. The underwriters were advised by Paul Hastings on Hong Kong law and U.S. law, and by Grandall on PRC law.
Confronted with increased volatility in markets around the world, companies have pulled or postponed a series of deals, including a $1 billion Hong Kong listing by high-end jeweller Graff Diamonds and a $3 billion Singapore offering by motor racing business Formula One.
“Despite the downturn in the market, we have helped launch several high-profile equity capital markets deals including the biggest Hong Kong IPO so far this year for Haitong Securities, raising $1.68 billion,” said Wang of Clifford Chance in a statement.
Kanishk Verghese is North Asia journalist at ALB. Follow us on Twitter: @ALB_Magazine.
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