On March 19, 2014, partnering with Sany Group to develop its mixed-ownership, State Nuclear Power Technology Corporation (“SNPTC”) signed a framework agreement with Sany Group in Changsha regarding the restructuring of equity in China Kangfu International Leasing Co., Ltd.(“Kangfu International Leasing”). On April 27, an equity transfer agreement was stricken between the two in Beijing. On May 26, Beijing Municipal Commission of Commerce gave approval to the deal that Sany Group would transfer its 50.2% stake in Kangfu International Leasing to SNPTC. By now, the deal was concluded and Kangfu International Leasing had its first board meeting convened. At the meeting, Wang Binghua, chairman of SNPTC and Liang Wengen, chairman of Sany Group highly recognized the achievements the leasing company had made since restructuring and raised their growth expectations. The participating shareholders also expressed their commitment to supporting growth of the company. 

A Dacheng team led by Beijing-based partner Wu Libei conducted due diligence, devised transaction plan, drafted transactional agreements, participated in negotiations in connection with the transaction, gained authority approval and executed the equity transfer for the client. The team also included Beijing-based attorneys Zhao Yingnan and Liu Dan and Changsha-based partner Zhou Zhengping and attorney Liu Wei. Leaders and project teams of SNPTC and Sany Group highly commended the Dacheng team on its expertise, efficiency and nationwide coordination of service and expressed their willingness to continue cooperation in the future. Dacheng has already been engaged by Kangfu International Leasing to advise it on an NEEQ listing. 

SNPTC, founded on May 22, 2007 with approval from the State Council, is a key state-owned enterprise under the administration of the central government. SNPTC signs agreements of transfer of Generation III nuclear power technology with foreign businesses on behalf of the state and performs relevant construction, engineering and project management. By introducing and absorbing Generation III AP1000 nuclear power technology, it aims to develop independently-owned nuclear power brand in China. SNPTC is the lead constructor of Project CAP1400/1700, an advanced large-size pressurized water reactor as well as other key model projects. 

China Kangfu International Leasing Co., Ltd., founded in 1988, is one of China’s first 13 financial leasing companies directly under the administration of the Ministry of Commerce. Historically, it shouldered the responsibility of introducing advanced foreign technologies with foreign reserves. Now, it is one of the few still existing legacy financial leasing companies in China. In 2004, Sany Group acquired all equity held by Kangfu International Leasing’s former owners and injected more capital to the company to take it into its complete control. In doing so, Kangfu International Leasing became a wholly-owned subsidiary of Sany Group. Since 2004, Kangfu International Leasing, applying advanced management and operational models and assisted by Sany Group, has achieved a compound growth rate of more than 100% on average over the years and increased its profits by a large margin. It has successfully turned itself into an asset management, risk control and profit service center. By December 2013, the total sum of financial leasing contracts has reached RMB8bln with RMB350mln in monthly outstanding rental.Its stable business flow brings about RMB500mln worth of financial leasing matters every month. Kangfu International Leasing performs remarkably in the engineering machinery sector.