Top US, UK and China Law Firms Take on Hong Kong’s Largest IPO of 2022 – International

Top US, UK and China Law Firms Take on Hong Kong’s Largest IPO of 2022 – International

Paul Hastings, Herbert Smith Freehills and JunHe are among the firms advising on Hong Kong’s largest IPO so far in 2022.

Onewo Space-Tech Service, the property management services arm of China real estate developer China Vanke Co, has launched an IPO in as it aims to raise as much as $784 million through the sale of 116.7 million primary shares, according to a stock exchange filing.

It comes amid a slump in Hong Kong’s share of regional public listings. Onewo’s IPO, which is expected to commence on September 29, is set to surpass the $284 million IPO raised by Huitongda Network Co, a Chinese e-commerce platform backed by Alibaba Holding Group, in February this year. 

Advising Onewo, Paul Hastings is fielding a team led by the firm’s Hong Kong corporate partners Raymond Li, Vincent Wang and Chaobo Fan. Beijing-based JunHe LLP has acted as legal counsel to the IPO issuer on China laws.  

Herbert Smith Freehills and Beijing-based Commerce & Finance Law Offices are acting for the joint sponsors and the underwriters, whcih include CLSA Capital Markets Limited, Citigroup and Goldman Sachs. The HSF team is being led by the firm’s China capital markets partners Matt Emsley, Stanley Xie, Jeremy Shen and Jin Kong.  

The IPO comes more than two months after Onewo received regulatory approval from China’s securities regulator to be spun off from its parent, China Vanke, to be publicly listed.      

In a Chinese circular published by the China Securities Regulatory Commission in April, the securities regulator asked Onewo to respond to nine questions regarding its planned IPO listing in Hong Kong. The authorities requested information and an explanation for matters including any potential conflict of interest in the placement of shares to China Vanke’s qualified shareholders of H-shares, and reasons for the establishment of multi-tier shareholding platforms. 

The property management service provider later received clearance from China’s securities watchdog for its Hong Kong IPO listing in mid-July, and later from the Hong Kong bourse in early September.