At A Glance
Client Industry: Energy and Resources
Regions Served: Hubei, Singapore (cross-border coordination)
Client Overview: A multinational energy investment group engaged in power generation and renewable energy projects. The engagement involved its China‑based solar photovoltaic subsidiary operating an agriculture‑photovoltaic complementary power station supported by long-term power purchase agreements (PPAs) and government subsidies.
Client Brief
- High financing costs arising from leasing arrangements, with annual interest expenses of approximately US$6 million
- Inability to meet bank lending criteria and access lower-cost financing
- Financial strain and shareholder disagreements resulting in pressure to divest
- Deteriorating market conditions, policy changes and subsidy receivable impairments affecting business valuation
- Cross‑border shareholder structure requiring coordination between foreign and Chinese shareholders
How We Helped
- Identified potential buyers and facilitated initial transaction discussions
- Acted as intermediary between foreign and Chinese shareholders
- Conducted buyer due diligence to assess credibility and transaction feasibility
- Commissioned an independent valuation reflecting prevailing market and policy conditions
- Managed end‑to‑end transaction execution support, including escrow arrangements, share pledge releases and equity transfer procedures
- Coordinated with government authorities and provided post-transaction monitoring and compliance support
Our Value
- Successfully facilitated the transfer of an 80% foreign shareholding to the Chinese shareholder
- Delivered an independent, market-aligned valuation reflecting changing market conditions and regulatory developments
- Reduced transaction risk through structured M&A execution and stakeholder coordination
- Ensured compliance with China regulatory requirements throughout and after the transaction process
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