Private Equity in Hong Kong and China - Second Edition
Author(s): Simon Luk
Publication Date: 8 December 2015
An overview of the main issues, common procedures and documentation involved in each stage of a private equity investment.
Private Equity in Hong Kong and China provides its readers with an overview of the main issues, common procedures and documentation involved in each stage of a private equity investment. The term ‘private equity’ usually refers to an equity investment in private companies that are not quoted on a stock exchange. However, Hong Kong in recent years has also witnessed an increasing interest of the private equity investors in participating in public companies’ privitisation and PIPE (private investment in public equity). There are a number of investment strategies including but not limited to venture capital, management and leveraged buyouts, management buy-ins, rescues , and expansion capital. Venture capital is one of the most common strategies adopted in Hong Kong.
Private Equity in Hong Kong and China is structured with an aim to provide a step-by-step guide to enable an easy grasp of key concepts and to provide useful insight to investment strategy. Sample transaction documents with explanatory notes are also included to assist readers to gain a thorough understanding in a systematic manner.
This book is an indispensable guide to legal practitioners, business investors, students or to anyone at all who deals with this area of law.
Table of contents
1 Introduction to Private Equity
2 Structuring the Fund
3 Preliminary Matters
4 Financing the Transaction
5 Buyouts and Exits
6 Founder/Employee Shares and Tax at the Time of Sale Issues
7 Due Diligence Questionnaire - Private Equity Investment
8 Information Memorandum
9 Heads of Terms (Equity)
10 Equity Commitment Letter
11 Exclusivity Letter
12 Subscription and Shareholders' Agreement
13 Investment Agreement - Single Investor
14 Articles of Association - Single Investor
15 Completion Agenda
16 China's Anti-Monopoly Law and Merger Control
17 Regulatory Regime on Outbound Investment from China
18 An Introduction to the VIE Structure in China