China's Reverse Takeovers
Case study: HK Parkview Group and Cofco Corp
http://blogs.wsj.com/moneybeat/2013/09/23/cofco-land-in-hong-kong-reverse-takeover/
http://www.financeasia.com/News/358191,cofco-to-inject-properties-into-hong-kong-listed-parkview.aspx
Hong Kong Parkview Group Ltd is planning to issue shares to buy property assets in China from a unit of its parent, Cofco Corp in a reverse takeover that will give its Chinese affiliate greater access to global capital markets.
HK Parkview said it would buy 12 property projects from Cofco at a cost of HK$14.167billion ($1.8billion).
Cofco is a wholly owned subsidiary of Achieve Bloom, which became the controlling shareholder of Parkview in July 2012.
The large size of the asset injection by Cofco means it is treated as a reverse takeover, and because it is less than two years since Achieve bloom took control of Parkview, the company will need to seek a new listing approval.
Once the new listing and the asset injection are completed, Parkview will change its name to Cofco Land Holdings. Once the acquisition is completed Parkview will have a market cap of about $2.4Billion which includes $1.8billion of property assets and $600 million of cash through the placement. The shares issued as part of the share placement will account for 94.6% of the enlarged share capital, more than 1700% of the current issued share capital.
Cofco Land, an unlisted unit of Cofco Corp., will sell its mixed-used complexes, commercial property and hotel projects in Beijing, Chengdu, Shanghai, Hong Kong, Suzhou, Nanchang and Sanya for HK$14.2 billion ($1.83 billion) to Hong Kong Parkview Group, which will in turn issue shares to raise capital for the purchase. After the deal is completed, Hong Kong Parkview will change its name to Cofco Land Holdings Ltd., the Hong Kong-listed company said in a statement on the stock exchange Tuesday.
This deal marks the latest attempt by a Chinese property company to list on the Hong Kong stock exchange
http://blogs.wsj.com/moneybeat/2013/09/23/cofco-land-in-hong-kong-reverse-takeover/
http://www.financeasia.com/News/358191,cofco-to-inject-properties-into-hong-kong-listed-parkview.aspx
Hong Kong Parkview Group Ltd is planning to issue shares to buy property assets in China from a unit of its parent, Cofco Corp in a reverse takeover that will give its Chinese affiliate greater access to global capital markets.
HK Parkview said it would buy 12 property projects from Cofco at a cost of HK$14.167billion ($1.8billion).
Cofco is a wholly owned subsidiary of Achieve Bloom, which became the controlling shareholder of Parkview in July 2012.
The large size of the asset injection by Cofco means it is treated as a reverse takeover, and because it is less than two years since Achieve bloom took control of Parkview, the company will need to seek a new listing approval.
Once the new listing and the asset injection are completed, Parkview will change its name to Cofco Land Holdings. Once the acquisition is completed Parkview will have a market cap of about $2.4Billion which includes $1.8billion of property assets and $600 million of cash through the placement. The shares issued as part of the share placement will account for 94.6% of the enlarged share capital, more than 1700% of the current issued share capital.
Cofco Land, an unlisted unit of Cofco Corp., will sell its mixed-used complexes, commercial property and hotel projects in Beijing, Chengdu, Shanghai, Hong Kong, Suzhou, Nanchang and Sanya for HK$14.2 billion ($1.83 billion) to Hong Kong Parkview Group, which will in turn issue shares to raise capital for the purchase. After the deal is completed, Hong Kong Parkview will change its name to Cofco Land Holdings Ltd., the Hong Kong-listed company said in a statement on the stock exchange Tuesday.
This deal marks the latest attempt by a Chinese property company to list on the Hong Kong stock exchange