Legal

New measures formalise and streamline the process for making capital contributions using equity, although they may raise approval issues for foreign-invested enterprises.

The Guidelines allows commercial bank establishments with legal personality to engage in the extension of loans for mergers and acquisitions and set forth the criteria therefor.

The total of the amount of capital contribution in the form of valuated equity and of capital contribution in the form of other valuated non-monetary property by all of the shareholders may not exceed 70% of the registered capital of the investee company.

The Circular specifies the method for apportionment of taxable income among partners of partnerships.

Hubert TseYuan Tai PRC [email protected] June 2008, Nanning Sugar Manufacturing Co, whose shares are listed on the Shenzhen Stock Exchange,…

Before starting any programme of mass lay-offs in China, companies must be aware of the legal issues and the appropriate procedures to follow. By Nancy Sun and Kirsten Gao, Minter Ellison, Shanghai.

Foreign companies are contemplating how to restructure their loss-making or low-profit China operations. There are several good options available, and several unwise choices, too. By Ghislain de Mareuil and Julie Tong, DLA Piper, Shanghai.

Shanghai offers financial incentives to multinational headquarters.

CDB and Bank of Communications help support deals