A Dacheng team led by partner Xu Wenping was retained as special legal counsel for consolidating and restructuring port trade subsidiaries of Shanxi Coal Transportation and Sales Group Co., Ltd.. These subsidiaries included Shanxi Jinhua Coal Sales Co., Ltd., Tianjin Tanggu Jinhua Coal Logistics Co., Ltd., Shanxi Jinhua Power Generating Coal Logistics Co., Ltd., TEDA Jinhua Coal Transportation and Sales Co.,Ltd., Taiyuan Yinuotong Trade Co.,Ltd., Tianjin Beiyuan International Trade Co., Ltd., Tianjin Beiyuan Storage Co., Ltd., Shanxi Coal Transportation and Sales Group Labor Service Company, as well as a Datong-based coal tar sales company for clients outside Shanxi. The project team was responsible for due diligence, structure design, drafting legal documents, issuing legal opinions, filing and registration of company alteration with relevant agencies.
 
Dacheng attorneys devised a restructuring plan for business units such as steal coal, port trade of coke, storage and road logistics. By revitalizing the assets, fully applying relevant policies, using supporting platforms, they helped the group resolve remaining liabilities in an orderly and proper manner, meet subsidiaries’ capital needs, take over liability of guarantee for port trade units and ultimately reduce the group’s financial risks. The attorneys also assisted the group in properly relocating relevant staff in order to ensure smooth implementation of the restructuring. They put together advantageous resources such as business, assets, personnel, markets and brands, and made all business units organically integrated and horizontally synergic. With their help, a platform for port trade was established, paving the way for its coordinating with the production and logistics units.
 
The six-month equity transaction left Dacheng attorneys travelling back and forth among Taiyuan, Tianjin and Qinhuangdao. Their sense of responsibility and expertise won recognition from leaders of the group and related subsidiaries. The restructuring plan they had proposed was approved the first time it had been brought to the group’s decision-makers.