Corporate Governance

Shanghai allows debt-for-equity swaps by foreign-invested enterprises.

Restrictive conditions may be imposed on a concentration transaction.

Number of foreign representatives is limited to four.

Beijing allows establishment of PE and VC firms by foreign investors.

Calculation of the business turnover of a business operator in a concentration clarified.

Shanghai allows debt-for-equity swaps by foreign-invested enterprises, which require the unanimous consent of all the shareholders of the investee enterprises.

The registered capital of a foreign-invested equity investment fund management enterprise shall not be less than US$2 million.

With a view to eliminating or reducing the effect of eliminating or restricting competition that the concentration of business operators has or could have, restrictive conditions may be imposed on a concentration transaction.

The Circular aims to prevent tax evasion by non-tax-resident enterprises through transfer of equity.