Mergers & Acquisitions

Engaging in China-related cross-border M & A is regarded as an advanced step of international business development to both overseas and Chinese enterprises. Success or failure of the transaction has a significant impact to the acquirer as well as the acquired company. M&A is a comprehensive and integrated business activity. Developing and executing an effective process requires “systems thinking” to ensure the various elements of the strategy are integrated. When the counter-party is a Chinese enterprise, the timing, valuation in Chinese perspective, establishment of relationships, and retention of management are also the key issues.

As an experienced M&A adviser involved in various China-related M&A cases, during the design and execution of the transaction strategy and process, we are capable of assisting our client in making important transaction framework decisions and taking the comprehensive consideration for our client into the synergy, add-value, technological advance, international structure, regulatory law, financing plan, as well as the international tax structure should all be taken into account. Our key strength is to bridge the difference in value perception between the European and Chinese parties through our global experience in China-related transactions.

Jomec’s team of professionals with bicultural backgrounds, together with our selected industrial experts in both Europe and China, is capable of formulating and executing an effective process:

• Formulation of a feasible China-related M&A strategy, criteria, procedures and transaction structure
• Identification and approach of potential transaction counter-parties around the world, with a focus on the European region and China
• By taking into account of various market fair values combined with the financial forecasts as the valuation methods, we assist our client in determine the valuation of the business
• We carry out the overall coordination of the due diligence process on behalf of our client and ensure our client receives high quality due diligence reports
• Our key role during due diligence process is to help our client identify the “red flags”, and advice on their impacts on the terms and conditions of the deal
• We assist either European or Chinese clients in adopting the best strategy to deal with China-related negotiations
• We carry out the design of investment structure and transaction framework, in order to reduce the time of approval, and to some extent, evade the supervision from the destination country
• We assist our clients and/or their lawyers to draft agreement, and providing the legal services required for the process of transaction
• We prepare the plan of post-acquisition integration and management for our clients