Hong Kong group acquires major stake in Huangzhou Ring Road

    December 06, 2011 | BY

    clpstaff &clp articles

    Hong Kong-based NWS Holdings (NWS) and New World Development (NWD) have signed an agreement to acquire 75% of Widefaith Group (Widefaith). Widefaith has…

    Hong Kong-based NWS Holdings (NWS) and New World Development (NWD) have signed an agreement to acquire 75% of Widefaith Group (Widefaith). Widefaith has an indirect stake in the company that operates the Hangzhou Ring Road.

    This US$400 million transaction is the final part of a four-stage acquisition. It brings an aggregate of 95% effective interest in the Hangzhou Ring Road and the total value of the deal to over US$1 billion.

    The first three parts of
    the deal were: 1) NWS's US$227 million acquisition of 22.68% of Chinese Future Corporation (CFC), a Widefaith subsidiary in July; 2) NWS's US$145 million acquisition of 25% of Widefaith; and 3) NWS's US$280 million acquisition of 26.32% of CFC in October.

    NWS and NWD were advised by a Hong Kong-based Clifford Chance team led by corporate partner Cherry Chan.

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