IFLR 1000
The Guide to the World's Leading Financial Law Firms

Llinks continues to have a strong capital markets practice, representing issuers and underwriters in IPOs and follow-on offerings. On the debt side, the team offers advice on investment-grade, high-yield and convertible bonds. According to one peer, "Llinks has really become increasingly prominent over the years in the capital markets space. They really do top transactions that are 'firsts' or innovative in the market."

The firm also takes pride in its strong relationships with government bodies like the China Securities Regulatory Commission and the Ministry of Commerce and the firm can back up its claim to superior knowledge on government interactions, as one partner formerly sat on the CSRC Public Offering Examination Committee.

Recently, the Llinks capital markets team advised Top Spring Holdings (Top Spring) in its Hong Kong Stock Exchange IPO and Rule 144A/Reg S international offering, which raised $200 million. Top Spring plans to use the proceeds from the offering for general corporate and working capital, and to acquire new development projects in China.

Llinks prides itself in its close working relationships with government institutions like the China Banking Regulatory Commission, the People's Bank of China and the State Administration of Foreign Exchange.

In 2010, the team advised Anhui Wanwei Updated High-tech Material Industry in its issuance of Rmb700 million ($108 million) in medium-term notes. The Llinks partners also represented China Molybdenum as it successfully issued a short-term financing bill with the total size of Rmb2 billion in June 2011.

Llinks posted another impressive deal list this year, displaying the depth of its expertise in leading M&A transactions. "Though not the biggest firm, they are really known for doing top quality work," says one partner at a rival firm. One of the most important deals was the restructuring of SVA Information by the Shanghai Media Group (SMG), where Llinks represented SMG on the takeover of the listed companies within SVA Information Industry by SMG, the sale of the listed company's assets to Shanghai Yidian Holding and the subsequent restructuring. Lawyers Christophe Han and Wayne Chen led in the deal, value which is valued at over Rmb1.99 billion ($308 million). The takeover was complicated by the fact that the sale of the assets and the restructuring were mutually conditional and had to be executed simultaneously.

Another key transaction was TB Partners' Stake Acquisition of Qinheyuan Aged Care Service Group, a provider of aged care services with eleven subsidiaries in China. Llinks advised on the deal structure, documentation, due diligence, negotiation, government approval and registration, and also management of the deal's closing.

Yu also represented CITIC Dameng Holdings in its equity investment into Guizhou Zunyi Hui Zing Ferroalloy. The mining and ferroalloy downstream processing company Guizhou Zhunyi Hui Zing Feroalloy was established under an administrative ruling by the Guizhou central government in order to take over and settle the assets of a bankrupted state-owned enterprise and employ 3,800 workers. The enterprise was expected to own a mining permit for approximately 7.28km of land in China's Guizhou Province. CITIC Dameng's indirect, wholly-owned subsidiary acquired a 60% equity interest in the company by subscribing to increased capital.

Llinks advises offshore private equity firms on cross-border private equity/venture capital transactions in China, and also advises Chinese clients on raising capital from offshore venture capital funds.

David Yu led on two major deals this past year-the Red Star Macalline private equity investment and the Kailong REI Real Estate private equity fund. Red Star Macalline is the leading furniture mall owner and operator in China and in 2010 Llinks advised the fund as it completed a Rmb2.6 billion ($401 million) second-round private placement with investors such as Warburg Pincus, CITIC Private Equity Fund, Fosun Group and Bohai Rmb fund.

For Kailong Real Estate Investment (REI), a top real estate investment and property management provider, Llinks helped to establish a private equity fund in Tianjing totaling over Rmb300 million ($49 million). The Kailong REI Fund I aims to invest in several commercial real estate projects in China and manage the daily operation of those projects in order to ensure a strong value-added component. Zhonghang Trust also joined as a limited partner in the fund after raising a trust fund to inject into Kailong REI I.

Yu also led Llinks in acting as China counsel to Meridian Capital, advising the Rmb200 million ($31 million) Singapore-based private equity fund on fund structure, contracts, and closing to establish the Suzhou New & Hi-tech Industry Development District (SND).