On May 8, 2015 at this year’s 35th meeting held by the Review Committee of Merger, Acquisition and Reorganization of Listed Companies of China Securities Regulation Commission (“CSRC”), Xiamen Savings Environmental Co., Ltd. (“Savings”, stock code: 300056) gained approval for its acqusition and reorganization plan. On June 1, an official feedback was issued by CSRC to confirm the approval.
Savings acquired 100% stake in Beijing Lowcarbon Environmental Tech Co., Ltd. from Liu Minghui and another ten shareholders, via cash payment and issuance of stocks. The purchase of the target company, valued at RMB252mln, was paid with RMB88.2mln of cash and another RMB163.8mln funded by issuance of stocks. Meanwhile, Savigns also launched its first employee stock ownership plan. According to CSRC, these transactions constitute material assets reorganization of listed companies and should gain prior approval from the regulator before implementation.
Savings was advised by a Dacheng team which included partner Pang Yunlong and associates Shu Rongfeng and Li Min from the Xiamen office. The team’s performance was unanimously recognized by Savings, the target company and participating intermediaries.
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