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Shearman & Sterling's China capital markets practice includes both debt and equity offerings, and the recent addition of Shearman's Hong Kong law practice has expanded the firm's greater China services for clients seeking advice on Hong Kong IPOs.

Partner Shuang Zhao joined Shearman's team in August 2010, bringing her experience representing investment banks in Nasdaq and Nyse IPOs, Rule 144A/Reg S offerings of equity, debt, and convertible securities and Hong Kong IPOs to the firm.

In 2010, Partners Alan Seem (Beijing), Colin Law and Peter Chen (Hong Kong) led the HK$1.1 billion ($141 million) listing of leading China-based oil field services provider MIE Holdings on the Hong Kong Stock exchange listing. Seem also represented underwriters Deutsche Bank, UBS and Citigroup Global Markets in the $86 million Nasdaq IPO by HiSoft Technology. The IPO closed in July 2010, and was followed by a follow-on offering of $149.5 million, also led by Seem and his team.

Clients are complementary about the capital markets practice, as one says: "Shearman's capital markets partners are fair, reasonable, and professional. I feel happy to work with them. They are a very well integrated global team. They are extremely responsive in these kinds of cases. As you know in offerings, every hour counts, so it was pretty impressive."

On the debt side, the China team advises on debt and equity derivative securities and high-yield debt offerings. Clients seem quite pleased with the firm's offerings on both fronts. According to one, "We work with Won Lee on the high-yield side, and Shuang Zhao for convertibles. They are very strong in both of these products." The same client continues: "Both partners have access to global resources and people in Hong Kong for both types of exercise. In the convertible space, I consider their ability to adjust to problems under a tight timetable to be superior - they have a high level of experience and are highly technical. High-yield products and services can be very typical, but they add something that is unusual in the high-yield space."

One key debt deal this year saw the firm work on the largest international bond launch from a Chinese issuer in history by Sinochem Overseas Capital Company. Led by Partner Won Lee, Shearman and Sterling represented Citigroup Global Markets, HSBC and UBS, Hong Kong Branch as purchasers in connection with Sinochem's 144A/Reg S offering of $2 billion in guaranteed senior notes due in 2020 and 2040.

The past year has been marked by Shearman & Sterling's growing representation of Chinese financial institutions on their outbound investments into overseas projects. The team has represented China Exim, Sinosure, China Development Bank and Bank of China in mining sector investments in Australia, the USA, Oman and Brazil, and foresees only future growth in this sector.

Shanghai-based partner Andrew Ruff is managing partner of the Shanghai office and heads the firm's project development and finance practice in Greater China. Ruff advised Sinosure, China Development Bank and Bank of China on the financing of the Salalah IWPP (independent water and power production) natural gas and fuel-oil fired generating plant in Oman. The transaction will represent the first time Chinese banks are providing a larger share of financing compared to the local currency and international banks dollar tranches, and represents Chinese financial institutions' growing interest in the Middle East.

The Shearman team also represented Dow Chemical Company in its $15 billion coal-to-chemicals project in Shaanxi province (co-owned by Shenhua Group), and also advised on the structuring of several other joint ventures with Dow and Shenhua affiliates. When the Shaanxi project is completed it will represent the largest ever foreign direct investment project China.

Shearman and Sterling's China M&A team, led by China managing partner Lee Edwards continues to advise in high-profile cross-border M&A deals and is known as a firm of choice for advising on complex US-law transactions. "The M&A team is very good," says one client, "and they provide quick responses."

The firm's addition of a Hong Kong law practice in early 2010 has helped to expand their Greater China capacity and offer more services to clients.

Partner Gregory Puff and his team have served as counsel several of these committees, advising the Special Committee of China Security & Surveillance Technology in a potential going-private transaction. The board of directors of the Shenzhen-based company received a non-binding proposal from its Chairman and CEO to obtain all shares of common stock not already owned by the CEO, subject to certain conditions. Puff also leads in representing the Independent Committee of Chemspec International, a China-based contract manufacturer of engineered specialty chemicals, in a proposed going-private deal valued at $300 million. Partner Ling Huang leads a team advising The Special Committee of China Fire and Security Group in a proposed buyout by a leading global private equity firm.

The mainland China team has also recently advised Sanofi-aventis on its $520.6 million acquisition of BMP Sunstone Corporation, a specialty pharmaceutical firm that operates solely in China and was listed on the Nasdaq stock exchange. After the merger agreement was adopted, BMP Sunstone ceased to be publically traded on Nasdaq and will be de-listed.

Clients and peers alike both had praise for Shearman and Sterling: "We were very satisfied with the firm's knowledge, expertise and innovation in solving issues." says one client. The firm has also expanded upon its offerings with the addition of its Hong Kong law practice in 2010, which should allow the firm to be a "one stop shop" for clients who require a full range of corporate services.

One of the firm's headline deals this year was managed by Hong Kong M&A partner Paul Strecker, who led a team advising Tiger Group Investments on a $5 billion maritime joint venture with the Carlyle Group with the intention to acquire over $5 billion in dry bulk, container, tanker and other shipping assets. The joint venture expects to deploy up to $900 million in equity capital over the next five years by focusing on key shipping strategic shipping segments in China, Taiwan, Hong Kong and Macau.

Shearman & Sterling's broad base of private equity clients includes Bain Capital, China Broadband Capital Partners, CVC, One Equity Partners and TPG among others.

Shearman & Sterling's recent addition of a Hong Kong law practice should ensure that they remain competitive in the market. In August 2010, Hong Kong qualified partner Shuang Zhao joined Shearman's team, and her experience in Hong Kong IPOs and US offerings should be a natural fit for the team. Shearman is already well known for its US law advisory work and the addition of the Hong Kong law practice means that the firm will be able to offer expanded services to new and existing clients wishing to list in Hong Kong.

Clients have high praise for Shearman's capital markets practice. As one client tells us: "Shearman's capital markets partners are fair, reasonable, and professional. I feel happy to work with them. They are a very well integrated global team. They are extremely responsive in these kinds of cases. As you know in offerings, every hour counts, so it was pretty impressive."

Another client lauds the firm for its overall competence and the strength of the relationship between the client and the firm. "I end up dealing with them on the US side," says the client, "and I view them as a safe pair of hands. To the extent that we need to get something done, they will be flexible as much as they can and have courage to tell us if it's a no-go. They're very good, very experienced, and they get the job done".

A combined greater China team last year acted on the HK$1.1 billion ($141 million) listing of leading China-based oil field services provider MIE Holdings on the Hong Kong Stock Exchange listing. Outside of Hong Kong the team also acted for the underwriters Deutsche Bank, UBS and Citigroup Global Markets in the initial $86 million IPO and follow on $149.5 million Nasdaq listing by HiSoft Technology on the Nasdaq.

The capital markets team also advised lead underwriters China International Capital (Hong Kong), Goldman Sachs, JPMorgan and others in connection with Changsha Zoomlion Heavy Industry Science and Technology Development Company's $1.7 billion Rule 144A/Reg S IPO. The listing for the China-based construction machinery company was one of the largest IPOs for a newly-listed company in 2010.

Clients seem pleased with Shearman and Sterling's Hong Kong and Greater China team, which advises clients on a broad spectrum of debt and equity-linked derivative securities as well as high-yield debt. As one client tells us: "We work with Won Lee on the high-yield side, and Shuang Zhao for convertibles. They are very strong in both of these products. Both partners have access to global resources and people in Hong Kong for both types of exercise," says the client. "In the convertible space, I consider their ability to adjust to problems under a tight timetable to be superior - they have a high level of experience and are highly technical. High-yield products and services can be very typical, but they add something that is unusual."

In one of this year's most prominent mandates, Shearman's team advised Sinochem Overseas Capital Company on the biggest international bond launch from a Chinese issuer in history. Partner Won Lee led the Shearman team in representing Citigroup Global Markets, HSBC and UBS as purchasers in connection with Sinochem's Rule 144A/Reg S offering of $2 billion in guaranteed senior notes due in 2020 and 2040.

Shearman's team also advised Merrill Lynch, Pierce, Fenner & Smith as the initial purchaser in the China Medical Technologies $150 million convertible bond offering. The total was comprised of senior notes at 6.25% due in 2016.

Clients also have praise for the firm's global network and client services. One industry leader who was worked on the other side from Shearman comments that "communication with them is pretty smooth, and they can respond to our counsel's request within hours-for example, with regard to securities law and SEC guidance if we need to have additional advice from people with a strong background in this area, they can source that within days from their global network. Partners respond to us and access global resources."

Shearman and Sterling's Hong Kong M&A team is focused on complex US-law transactions. "Partner Paul Strecker was our point person for our deal and he did an exceptional job of harnessing the firm's resources and getting a successful transaction done," says one client. The same client also has high praise for the Hong Kong team's knowledge and professionalism. "We were very satisfied with the firm's knowledge, expertise and innovation in being able to solve issues. Particularly because they had specialist teams to handle M&A, multi-jurisdictional taxation, employment issues, public disclosures and fund specialists, all of which we needed this year."

The firm added a Hong Kong law practice in early 2010, which provides greater capacity and expertise for clients. It is just one of a raft of US firms to take this step with the realisation that local advice has become a vital pillar of any serious practice. This year, the firm has had particularly strong mandates in advising committees on several "go-private" transactions, including the Special Committee of China Security & Surveillance Technology. Subject to certain conditions, the board of directors of the Shenzhen-based company received a non-binding proposal from its Chairman and CEO.

The Hong Kong M&A team also advised Mascot Land and its shareholders in selling their HK$3.36 billion ($430 million) in shares to a Hong Kong-listed company. The sale, announced in October 2010, which was complicated because the transaction fell under a "very substantial acquisition" category and could have led to a reverse takeover under Hong Kong's acquisition rules. The team was able to successfully avoid this and push the deal through.

Shearman & Sterling's Hong Kong private equity practice is led by veteran practitioner Paul Strecker, and the team boasts an impressive list of top private equity clients including TPG and Bain Capital.

Clients seem impressed with the firm's service. "We were very satisfied with the firm's knowledge, expertise and innovation in solving issues." says one client. Shearman & Sterling also added a Hong Kong law practice in 2010, which means that the practice will now be able to provide private equity clients with an array of options for their exit strategies.

Shearman & Sterling's private equity team recently advised Tiger Group Investments on a $5 billion maritime joint venture with the Carlyle Group, in a move that would allow the joining venture to acquire over $5 billion in dry bulk, container, tanker and other shipping assets. Carlyle and Tiger Group plan to deploy up to $900 million in equity capital over the next five years by way of zeroing in on key shipping strategic shipping segments in China, Taiwan, Hong Kong and Macau.

Shearman & Sterling has a strong presence in project finance work in Asia, and has been growing its presence in advising domestic Chinese banks.

The Middle East and Oman in particular has been a focus for the firm recently with the team advising on two major infrastructure projects. In one the team acted for the lead arrangers including Societe General, Bank of China, ICBC in SembCorp Utilities' bid for the development of a gas-fired 1500MW Sur IPP (independent power production) plant valued at $1.8 billion. Shearman & Sterling's partners in Hong Kong, London and Singapore formed a multi-jurisdictional team that advised on the project.

Shanghai managing partner Andrew Ruff also led the Shearman team advising Sinosure, China Development Bank and Bank of China on the financing of the Salalah IWPP (Independent Water & Power Production) natural gas and fuel-oil fired generating plant.

The latter project marks the first time that a Chinese institution has provided a larger ratio of foreign to domestic currency for the funding for a project in the Middle East. With its strength in the region Shearman will no doubt be hoping that more Chinese investment will follow.

Shearman & Sterling runs its India group out of Singapore and has been highly regarded by domestic counsel and clients over the past few years for its quality service and range of expertise.

A notable transaction for the firm was acting for Aditya Birla Group in its acquisition of Columbian Chemicals from One Equity Partners, which is the merchant banking investment arm of JPMorgan Chase. The transaction was closed in June 2011 and was valued at $875 million.

Shearman & Sterling's equity and debt offering is helmed by the well-regarded Masahisa Ikeda. With numerous blue-chip clients under its wing, in particular representing an enviable amount of Japanese issuers, Ikeda's team continues to punch above its weight. It is a key strategy of the firm to focus on premier issuers like Toyota, Kyocera, Olympus and Toshiba. A modestly sized team, the firm has invested in its practice over the past year by hiring a number of experienced counsel and associates.

"We are impressed with Mr Masahisa Ikeda and his team of associates," says a managing director of a private equity firm. "We rely on him and his team when it comes to US law issues. His most significant strength is that he is a true expert on capital markets and fundraising issues. We believe Mr Masahisa Ikeda is the best Japanese lawyer in town in terms of expertise and experience. He can get deals done properly and promptly and his advice is always pragmatic. The other significant strength is that he and his team can provide top quality advice all in the Japanese language, on the ground in Japan. We are sure many Japanese clients appreciate the language and cultural abilities of Shearman & Sterling."

Reflecting the calibre of the firm's transactions, this year Ikeda and of counsel Satoko Kato advised eAccess on its $700 million high-yield bond issuance. Utilising an integrated team across all its Asia offices and New York and Menlo Park, this was a unique deal due to the rarity of Japanese high-yield issuers. Additionally, this was the first Japanese high-yield offering since June 2007. Another significant deal has Ikeda leading a team for Sumitomo Metal Industries in its $50 billion offering. The firm in particular advised on the Form F-4, Form 20-F, and other legal compliance issues relating to the Securities and Exchange Commission.

"We think Shearman & Sterling has the top capital markets lawyers in town who can also operate flexibly in other corporate areas. They are always prompt and timely in their response, and their advice is practical and realistic," says a client. "They have the right business instinct and truly understand our business needs. They lay out the alternatives and discuss the pros and cons, making it easier for us to make a business decision on some of the most difficult legal issues."

Shearman & Sterling has been involved in some of the largest M&A transactions in Japan this year, most notably the recently announced $50 billion merger between Sumitomo Metal Industries and Nippon Steel. Partners Masahisa Ikeda and Ken Lebrun, along with counsel Brian Wheeler, are advising Sumitomo Metal Industries in the merger, which will create ArcelorMittal, the world's second-largest steel company.

Clients especially praise Ken Lebrun, head of the M&A practice. "Ken Lebrun is a very good lawyer who has experience in US M&A," a client says. "You don't have to fully rely on someone in NY or wherever else."

"Shearman & Sterling's international network very broad and we've never had a region or country in which they can't assist us," a client notes. The firm's Japan Project Development & Finance, led by newly elected partner Etienne Gelencsér, benefits from generally strong project finance practices in its Asian offices. Its China branch in particular draws accolades in the area.

Given Shearman & Sterling's international network, the firm has been at the forefront of new project opportunities that have sprung up in the Middle East and Southeast Asia, especially Indonesia and Vietnam.

It is yet to be seen if the departure of Shearman & Sterling's well-regarded counsel Gail Ong to Singaporean firm Wong Partnership will affect the firm's performance in capital markets. Its Singapore practice, however, is buttressed by its capabilities in Hong Kong, and partner Andrew Schleider, who specialises in working with investment banking clients, is being transferred to Singapore from New York.

The firm's capital markets practice also retains prominent investment banking clients such as Credit Suisse, Deutsche Bank, Standard Chartered, UBS and Morgan Stanley.

Hong Kong partner Matthew Bersani represented CIMB, Deutsche Bank and Morgan Stanley as joint global coordinators regarding the IPO of Petronas Chemicals Group Berhad and its subsequent listing on Bursa Malaysia. The $4 billion market capitalisation represented the largest IPO ever in Southeast Asia.

Clients are impressed with Shearman & Sterling's nearly comprehensive coverage of the Asian continent, mentioning an international network consisting of both its own offices and relationships with other firms that extends from Tashkant, Pakistan to Uzbekistan and Dubai.

Well-regarded partners Sanja Udovicic and Bill McCormack are pivotal to the firm's success. Sanja especially draws accolades from clients. "Whenever there is a last minute meeting or call, the firm is always available," a client comments. "If we ever need to call them - even late at night - we have their mobile numbers and they always pick up. They're very responsive and proactive."

The firm is also advising Asian Development Bank, International Finance Corporation, the Islamic Development Bank and Export-Import Bank of Korea regarding $525 million in financing for Uch II, a power project in Pakistan.

Clients rave about the lawyers in Shearman & Sterling's M&A group, most notably partner Bill McCormack and associate Shirin Tang. Tang, who transferred to the firm's Singapore office in April 2010, especially draws accolades. "Shirin is really, really good - not a partner yet but I'm sure she'll be one soon," a client notes. "Her advice was business-minded, to the point, and made sense, while her drafting was amazing."

Tang, along with Hong Kong M&A partner Paul Strecker, Hong Kong associate Justin Mak and Singapore associate Tiffany Hill, advised Tiger Group Investments in its maritime joint venture with the Carlyle Group. The company will acquire more than US $5 billion in container, dry bulk, tanker vessels and shipping assets, and will commence business immediately.

Partner Bill McCormack leads Shearman & Sterling's standout project finance practice, which has been involved in the biggest project finance transactions in locales as diverse as Pakistan, the Philippines, Vietnam and Uzbekistan. Clients laud McCormack for his expertise and service. "He was really instrumental in the culmination of our work, and has a very good understanding of the requirements of an international institution," a client comments. "He was very helpful with quality of understanding the sector and also with our local contacts."

McCormack, along with associate Alfred Ng, represented lenders Asian Development Bank, International Finance Corporation, the Islamic Development Bank and Export-Import Bank of Korea in relation to International Power's Uch II power project, which required $525 million.

In another highlight transaction, partner Sanja Udovivic and McCormack are acting for lenders, including Asian Development Bank, in the first multi-source financing project in Uzbekistan. LUKOIL Overseas Uzbekistan is seeking $2 billion in funds for its Khausak Shady and Kandymgas development project.

Shearman & Sterling have a strong South Korea practice with key partners distributed throughout Asia, North America, and the Middle East. Though the Korea-US free trade agreement has not yet been ratified, clients are happy with their service and accessibility. One adds, "I think they're as present as you can be as a US law firm at this point."

Philip Dundas, managing partner of the Abu Dhabi office, represented Abu Dhabi National Oil Company and the Government of Abu Dhabi to draft a memorandum of understanding with Korea National Oil Corporation (KNOC). This memorandum gives KNOC the ability to partake in the development of fields that may contain up to 1 billion barrels of crude oil.