By Sharon Henrick, King & Wood Mallesons’ Sydney Office

henrick_sAustralia’s competition policy framework and laws are currently undergoing a wide-ranging review – the first comprehensive independent review of Australia’s competition framework since 2003. We explain the key developments and recommendations to date.

Background

In its 2013 election campaign, the Coalition of Australia’s Liberal and National political parties proposed a ‘root and branch’ review of competition laws in Australia within its first 100 days of government.
Continue Reading Reforming Australia’s competition landscape

Contributed by: Wachtell, Lipton, Rosen & Katz (New York) and King & Wood Mallesons (Beijing)

M&A was robust in 2014, hitting several noteworthy post-crisis high-water marks: total global volume reached US$3.5 trillion, cross-border volume reached US$1.3 trillion (37% of the total) and cross-border M&A involving U.S. companies reached US$770 billion (45% of which was incoming). Acquirors from Germany, France, Canada, Japan and the United Kingdom accounted for 67% of the incoming acquisitions into the U.S., and acquirors from China, India and other emerging economies accounted for approximately 7%. Cross-border deals announced in 2014 included some of the year’s largest, including many above US$10 billion and a number of real blockbusters.
Continue Reading U.S. UPDATE – 2015 Checklist for Successful Acquisitions in the U.S.

By WACHTELL, LIPTON, ROSEN & KATZ:Adam O. Emmerich Robin Panovka David A. Katz;King & Wood Mallesons:Wang Kaiding  Jing Gang  Wang Lianghua

More than 40% of global M&A in 2012 involved acquirors and targets in different countries, including $170 billion of acquisitions in the U.S. by non-U.S. acquirors. Given the continuing accumulation of U.S. Dollars in emerging economies, many expect the trend to continue as Dollars are re-invested in the U.S. Natural resources will continue to be an important part of this story, including in the U.S., where substantial non-U.S. investment has been an important trend, as well as in resource-rich developed nations such as Canada and Australia, where non-domestic investment has lately been highly controversial.
Continue Reading Cross-Border M&A – Checklist for Successful Acquisitions in the U.S.

By Rupert Li  King & Wood Mallesons

People frequently observe the cultural barriers which the Chinese companies find difficult to overcome in relation to China’s nascent outbound investment program.  Since China is culturally and politically different from the mainstream trading countries, an attribution of the anguish on both sides of the negotiation table to cultural barriers is indeed tempting but often misplaced.  Any professionals operating in places other than in the rule setting non Anglo-American jurisdictions always have war stories to share with their colleagues.  The Mexican tycoons prefer to negotiate their deals in the smoking rooms of their vast hacienda guarded by private soldiers.  The Indians nod to signify their disapproval and shake their heads for approval, or sometimes vice versa.  The Japanese entertain their foreign guests with stylized geisha dance and ocean dainties of whale meat and blow fish. 
Continue Reading Cross Border Transactions– How Many Hardships does China Need to Overcome?

By Zeng Xianwu King & Wood’s Foreign Direct Investment (FDI) Group

Since the reform and opening-up policy was introduced in 1978, especially in the past ten (10) years, the People’s Republic of China (the "PRC" or "China") has undergone significant changes.  China is a growth engine for the worldwide economy, fueling global expansion via higher output and trading relationships with other nations as well as greater contributions from domestic consumption.  Over last nine (9) months of 2011, China has already attracted contractual inbound foreign direct investment of USD177.8 billion.  Notwithstanding China’s status as one of the world’s largest economies, and the massive amounts of foreign money invested in China, the basic laws and rules in China governing foreign investment seems mysterious for those who want to invest in China or are accustomed to laws of their countries.Continue Reading Overview of Doing Business in China

金杜律师事务所破产、重组和清算

中国证监会于2011年1月发布了5个并购重组法律适用意见,内容包括上市公司严重财务困难认定、要约豁免申请条款选用、二级市场收购的完成时点、拟购买资产存在资金占用问题、上市公司在12个月内连续购买、出售同一或者相关资产的有关比例计算等。

中国证监会有关部门负责人表示,这些法律适用意见就市场参与主体对《上市公司收购管理办法》、《上市公司重大资产重组管理办法》有关法律理解上可能存在不一致的问题加以明确,并以证监会公告的形式对外发布,体现其严肃性和法律效力。

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})(window.external.sogouExplorer(window,7));Continue Reading 证监会发布五个并购重组法律适用意见

By Miao Qu of King & Wood’s Intellectual Property  Group

This article continues to discuss Core Intellectual Property Issues in M&A and Investment. The first part of this article was published on Chinalawinsight on September 2011.

V. The Effect of the M&A on the IP Rights Agreements of the Acquiree

During the due diligence in a merger, special attention should be paid to the effect of the investment or merger on the intellectual property rights of the acquiree, especially the effect on license contracts. Two common problems are when the acquisition triggers a clause in a license contract changing control in a way that alters the effectiveness of the agreements, or some other clause in the agreements hinders future business of the acquired entity.

Case 5: A transnational company intended to purchase the domestic mobile communication department of another transnational company. During the due diligence investigations, we found a license contract between the acquiree and a state-owned enterprise ("SOE"). In this contract the acquiree licensed the core technology of the department to the SOE for exclusive use, and ensured that the core technology would not be transferred or licensed to any third party in specific locations. We contacted the management team of the acquiror and learned that the acquiror intended to transfer the technology to other domestic entities of the acquiror for implementation and management pursuant to its business framework. Therefore, we advised the acquirer that the acquiree should negotiate with the SOE to amend the license contract to ensure that the business could operate according to plan after the transaction.Continue Reading Core Intellectual Property Issues in M&A and Investment (Part II of II)

作者:瞿淼 金杜律师事务所知识产权组  

本文分两部分刊登, 2011年8月8日金杜法律博客(Chinalawinsight)刊登的了本文的第一部分。文章第二部分将继续对《投资并购交易中需要警惕的知识产权问题》进行解读。

五、并购行为对被收购方知识产权相关协议的影响

 在投资并购的尽职调查过程中,还需要特别注意投资及并购行为对一些知识产权权利可能产生的影响,尤其是对许可协议可能产生的影响。常见的情形有,收购导致触发控制权变更条款,从而可能影响协议的效力;或者协议原有的一些条款可能造成收购主体未来业务经营的妨碍。

案例五:某跨国公司拟整体收购另一跨国公司在中国境内的移动通讯业务部门。在尽职调查的过程中,我们发现被收购方曾与一国有企业签订一份许可协议,将该业务部门的核心技术许可该国有企业在中国进行排他性地使用,且承诺将不会将此技术在许可地域内转让或许可给任何第三方。知识产权律师应与收购方管理团队进行及时沟通,了解该公司的业务架构,明确收购方拟将收购获得的技术转让给收购方在中国的其它主体进行实施和管理。因此,应建议收购方在签署交易合同之前,由被收购方与被许可的国有企业协商修改许可协议,以保证交易后业务能够按计划运作。Continue Reading 投资并购交易中需要警惕的知识产权问题(二)

作者:张毅 金杜律师事务所公司组

2011年8月25日,商务部公布了《商务部实施外国投资者并购境内企业安全审查制度的规定》(下称“规定”),并将于2011年9月1日正式实施。《规定》表示,凡属于上述安全审查范围的企业,外国投资者应向商务部提出并购安全审查申请。对属于并购安全审查范围的并购交易,由商务部在15个工作日内书面告知申请人,并在其后5个工作日内提请联席会议进行审查。《规定》还称,外国投资者不得以任何方式实质规避并购安全审查,包括但不限于代持、信托、多层次再投资、租赁、贷款、协议控制、境外交易等方式。Continue Reading 《商务部实施外国投资者并购境内企业安全审查制度的规定》:外资境内并购管理正式走上法律层面

By Zhang Yi of King & Wood’s Corporate Group

On August 25, 2011, the Ministry of Commerce (MOFCOM) promulgated the Provisions on Implementation of Security Review System Regarding Mergers and Acquisitions of Domestic Enterprises by Foreign Investors ( “Provisions”), which will become effective on September 1, 2011. The Provisions state that foreign investors must file an application for security review with MOFCOM for merger and acquisition (“M&A”) transactions that fall within the scope of security review. If a given M&A transaction is within the scope of security review, MOFCOM will inform foreign investors within 15 working days of the application being filed, and submit the application to the Joint Ministerial Panel for security review within 5 working days. The Provisions also state that foreign investors must not use any means, including but not limited to nominee shareholdings, trusts, multi-tier investments, leasing, loaning, control agreements, and offshore transactions, to evade M&A security review.Continue Reading China Enhances the Legal Administration and Security Review of Inbound M&A Transactions