Drew acted for Hengyang Petrochemical Logistics Limited and Daikin Industries Ltd in two separate transactions

27 Aug 2013

Proposed subscription of 35% equity interest in a material subsidiary of Hengyang Petrochemical Logistics Ltd

Drew acted for Hengyang Petrochemical Logistics Limited (a company listed on the SGX-ST) in the dilution of 35% equity interest in its principal subsidiary, Hengyang Holding Pte. Ltd. (HHPL) to a company owned by Macquarie Everbright Greater China Infrastructure Fund L.P., a global infrastructure fund managed by Macquarie and Everbright, for an investment amount of approximately RMB271.25 million.

HHPL is a leading logistics service provider primarily engaged in the storage and transportation of liquid petrochemicals in China. The proceeds raised by HHPL will be used to fund the group's business expansion along the Yangtze River and corporate restructuring exercise, including a buyback of a 40% equity interest in its two subsidiaries in Wuhan and Chongqing.

Directors Sin Boon Ann and Yap Siew Ling and Senior Associate Wu Geng led in this transaction.

Acquisition of PT Tatasolusi Pratama by Daikin Industries Ltd

Drew also acted for Daikin Industries Ltd. (Daikin) in its acquisition of PT Tatasolusi Pratama (TSP) from the Kirkham group and two other individuals for a purchase consideration of US$14.5 million. TSP is a leading distributor of heating, ventilation and air-conditioning (HVAC) systems in Indonesia. Daikin is a Japanese multinational air conditioner manufacturing company headquartered in Osaka. It has operations in Japan, China, Australia, India, Southeast Asia, Europe, and North America. 

By this acquisition, Daikin intends to leverage on TSP’s sales network and expertise in the Indonesian commercial HVAC equipment market. Daikin also intends to expand its presence in the commercial market (including Japanese, European and U.S. firms expanding into Indonesia) by leveraging on TSP’s know-how.

Directors Sin Boon Ann and Yap Siew Ling and Senior Associate Rachel Poon led in this transaction.