Herbert Smith has advised BaWang International (Group) Holding Limited ("BaWang"), a leading herbal shampoo maker based in southern China, on its HK$1.67 billion (US$215 million) Hong Kong IPO and Rule 144A / Regulation S global offering.
The global offering consisted of an aggregate of 700,000,000 offer shares, priced at HK$2.38 per share. BaWang intends to use the proceeds for brand promotion, research and development and business expansion in the region.
Herbert Smith advised on both the Hong Kong and US law aspects of the IPO. The team was led by partners John Moore, Kevin Roy and Gary Lock. They were assisted by senior associate Arnold Pang, associates Yujie Gu, Benjamin Chou, Lili Jian and Su-Li Chan and paralegal Christina Fu.
Beijing managing partner Gary Lock commented:
"The success of this transaction demonstrates our continued strength in the Greater China capital markets. This is a significant strategic transaction with a high profile in Greater China and we have been delighted to assist BaWang with the expansion of its business in the region."
Hong Kong-based corporate partner John Moore added:
"We are pleased to continue to be involved in landmark deals such as this in the region, reflecting the strong resources and expertise of Herbert Smith in equity capital markets, particularly in the current economic climate. We are looking forward to a steady increase in corporate activity."
HSBC and Morgan Stanley (Asia) were the joint bookrunners. Freshfields were international legal counsel to the bookrunners and Commerce & Finance Law Offices advised on PRC matters. King & Wood were PRC legal counsel to BaWang.
Notes to editors
- Herbert Smith operates a leading China practice from our well-established presence in Beijing, Shanghai and Hong Kong. The firm has one of the leading equity capital markets practices in Asia. We are retained by major issuers and investment banks as advisers on high profile share placements across Asia. These include advising:
- Industrial & Commercial Bank of China (ICBC) on its US$21.9 billion flotation. The IPO was the world's largest to date. ICBC was also the first company to list simultaneously on the Shanghai and Hong Kong stock exchanges, a move that was expected to create a precedent for listings of other premium PRC companies and which presented unique challenges.
- China International Capital Corporation and Macquarie Capital Securities as joint bookrunners on the HK$4.78 billion (US$613 million) Hong Kong IPO and global offering of China South Locomotive & Rolling Stock Corporation, the largest rolling stock maker in the PRC
- Morgan Stanley as sole bookrunner on the HK$1.38 billion (US$176 million) Hong Kong IPO and global offering of Central China Real Estate, a leading residential property developer in Henan Province
- Goldman Sachs, HSBC, UBS and JP Morgan as joint bookrunners and joint lead managers on the HK$2.76 billion (US$354 million) Hong Kong IPO and global offering of Maoye International Holdings, a leading department store chain in China
- Herbert Smith LLP is an international legal practice with over 1300 lawyers (including over 240 partners) and a network of offices in Europe, the Middle East and Asia. It has a formal alliance with leading German firm Gleiss Lutz and leading Dutch and Belgian firm Stibbe. On 1 April 2005 Herbert Smith became Herbert Smith LLP, a limited liability partnership. www.herbertsmith.com
- For further information please contact Lydia Lam of Business Development in Asia on +852 2101 4609 or lydia.lam@herbertsmith.com
NOTICE
These materials are not an offer for sale of any securities of BaWang International (Group) Holding Limited (the "Company") in the United States or elsewhere. Any securities offered by the Company in connection with the transactions described herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the "Securities Act"), and may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act. This press release shall also not constitute an offer to sell or a solicitation of an offer to buy any securities nor shall there be any sale of such securities in any country or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such country or jurisdiction.