Paul Hastings has advised China International Marine Containers (Group) Co. Ltd. on the $1.8 billion transition of its Shenzhen Stock Exchange-listed shares to the Hong Kong Stock Exchange.
CIMC, the world’s largest provider of shipping containers, has converted its 1.43 billion Shenzhen B-shares to H-shares in Hong Kong in an attempt to capture a better valuation and access the international capital markets.
The B-share market in China had been the only way for foreign investors to buy Chinese stocks, the Wall Street Journal reported, but the market has slowed since the opening of the more liquid yuan-denominated A-share market to international capital.
The result for CIMC B shareholders had been less liquidity and a lower stock price, according to Paul Hasting Hong Kong partner Raymond Li, who said shareholders “have found it difficult to fully realize the value of their investment in CIMC.”
The Paul Hastings team was led by Li, as well as Hong Kong partners Catherine Tsang and Zhaoyu Ren. Commerce & Finance Law Offices also acted for the issuer.
Guotai Junan Capital Ltd., the sole sponsor for the listing, was advised by Hong Kong firm Woo Kwan Lee & Lo and Beijing-based Jingtian & Gongcheng.
Email: jseah@alm.com.
