December 30, 2014

Recently Watson & Band represented its client Hong Kong Shijiang International Co., Ltd. to  successfully completed the merger and acquisition (hereinafter “M&A”) of Shanghai Baozhentong Information Technology Co., Ltd. by means of capital increase and share expansion. This is the first M&A by a foreign investor of a domestic company that has ever been approved in the Shanghai Free Trade Area (hereinafter the “FTA”) (Pudong Airport Comprehensive Bonded Zone) since the establishment of the FTA in last September, as well as one of Watson & Band’s successful M&As by foreign investors of domestic companies.

Watson & Band team provided full legal services for this transaction and mainly undertook transaction structure design, due diligence, as well as drafting and revision of the entire set of legal documents including the capital increase agreement and the joint venture contract, and was solely responsible for the foreign investment approval and corporate registration change formalities in connection with the transaction. With the sound cooperative relation with the governmental authorities in the FTA, Watson & Band’s team helped the client to acquire the Approval Certificate for Foreign Investment Enterprises and the Business License within the shortest possible time.

Watson & Band’s Corporate and Commercial Team have assisted various foreign and domestic companies in  a number of M&As, the transaction modes of which include assets acquisition, equality acquisition and capital increase and subscription, and have thereby accumulated rich experience in the field of foreign investment related legal services.