LAWFUEL – The Law Firm News Service – Herbert Smith has advised Goldman Sachs and Morgan Stanley on the HK$13.74 billion (US$1.77 billion) initial public offering of Sino-Ocean Land Holdings, a Beijing-based residential developer on the Hong Kong Stock Exchange.
The company sold 36.6% of its enlarged share capital, or 1.51 billion shares, of which 82% were newly-issued. Trading began on 28 September and the over-allotment option was fully exercised on 2 October by the joint global coordinators in respect of an aggregate of 232,680,000 shares.
Sino-Ocean Land Holdings Limited was established in 1993 as COSCO Real Estate Development and registered in Hong Kong under its current name this year. Sino-Ocean is among the largest real estate developers in Beijing with a focus on developing mid- to high-end residential properties, high-end office buildings, retail properties, serviced apartments and hotels. It has roughly 8.6 million square meters of land slated for construction, as well as four large-scale prime development projects in Beijing.
Herbert Smith advised on both the Hong Kong and US law aspects of the IPO. The team was comprised of Hong Kong-based partner Andrew Tortoishell and US Securities partner John Moore. They were assisted by Matt Emsley, Zuo Zhou, Nancy Xu and Derek Fong.
Andrew Tortoishell commented:
“We are committed to strengthening our relationship with Goldman Sachs and Morgan Stanley and the successful flotation of Sino-Ocean confirms our position as one of the leading advisers for capital markets transactions in China’s property sector.”
John Moore added:
“We continue to advise our valued clients Goldman Sachs and Morgan Stanley on significant capital markets transactions such as the Sino-Ocean IPO. We look forward to building upon these relationships and seek to reaffirm our reputation as the trusted advisor for the world’s leading investment banks.”
Sino-Ocean was advised by Freshfields Bruckhaus Deringer on matters of Hong Kong and US law; and Lei Jie Law Office on matters of PRC law. Sinofert Holdings Ltd. (formerly Sinochem Hong Kong Holdings Ltd.), the selling shareholder, was advised by Kirkpatrick and Lockhart Preston Gates Ellis LLP on matters of Hong Kong law.