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

With the general trend in so many jurisdictions being a notable lack of liquidity, Singapore is fortunate to be witnessing a gradual return of free capital. New lending is certainly nowhere near the levels witnessed before the credit crisis, but optimism is abundant and a number of notable acquisition finance deals point to the fact that banks are beginning to emerge from hibernation.

However, restructuring and refinancing work remain the main driver for most practices as banks continue to put their houses in order following the shake-up of the last few years. Even with increased confidence and slight return of liquidity large institutions will be conscious of the need to maintain, and in most cases increase, their core capital base in line with new regulations and not to risk too much at this point on new ventures.

With the market on the up, foreign firms will hope to benefit. In January 2011 the government finally ratified the Foreign Practitioner Certificate (FPC), allowing foreign lawyers to sit the Singapore bar exams. Certainly this will further increase the scope of international firms on more domestic focused mandates and continue the gradual liberalisation of the market. However, some firms are not convinced that will lead to a dramatic change in the landscape. Domestic banks only account for a limited proportion of new lending in the market and a lot of these more localised mandates are already well served by the local firms. Indeed, it may prove to be an un-profitable venture for international firms to compete with domestic outfits for this work.

A more likely outcome is that it will simply allow international firms to offer more flexibility to their clients, reducing the need to call in additional counsel as and when more specific Singaporean elements arise on the larger cross border deals.

Unsurprisingly perhaps, given that it is the area the firm built its reputation on, Allen & Overy remains in the top tier in banking this year. In addition to a strong team on the ground, the firm can call on the experience of teams in Hong Kong, Japan and, as of January 2010, Australia.

Last year the Singapore team was also boosted by the arrival of Jason Humphreys, who moved across from the Tokyo office. He has wasted no time in establishing himself and clients already see him as a key part of the firm's offering: "He's a very experienced lawyer in the sector with a friendly and open-minded character," says one. "He understands well the clients' needs and Japanese business as well as the market standard, which I believe enables him to come up with solutions which any transaction party can finally accept."

Another client says: "A&O works towards the interest of the transaction and have been very good with financial acumen and understanding the business needs, apart from being excellent at documentation and closing transactions."

Highly-regarded partners John Richards and Chris Moore worked in conjunction with London-based partner Richard Hough in advising structuring agent Credit Suisse on a $1.35 billion share-backed loan facility to fund a reverse takeover of Indonesian companies Bumi Resources and Berau Coal Energy. The companies planned to create an enormous London-listed Indonesian resources company, Vallar, which would in turn purchase both for $3 billion.

In another complicated banking transaction related to project finance, partner Kayal Sachi and consultant Andrew Roche advised Axis Bank on a $358 million facility to expand Male International Airport, located in the Maldives. This represented one of the first public-private-partnerships (PPPs) in the Maldives.

One of Clifford Chance's highlights last year saw partner Andrew Brereton represent ING, SBMC, Bank Mandiri, BTMU, Intesta Sanpaolo, and Morgan Stanley among others on the refinancing of the $285 million loan and $315 million bond financing, closed in 2009, for the acquisition of PT Bukit Makmur Mandiri Utama by Northstar. Complicated structuring was required so that the existing security package remained the same, though others could be added.

Brereton also advised ANZ in raising $1 billion in financing for San Miguel Corporation in a transaction that closed in August 2010.

Within the Linklaters Allen & Gledhill banking team Philip Badge remains the standout name for peers and clients alike. A specialisation in India linked deals gives Badge a fairly unique position within the market and clients appreciate his knowledge.

One client of Badge says: "For me, it's personally all about the partners that you work with, not so much the institution. Every time that you work with a law firm it boils down to the partners and your level of confidence in them for negotiating the best deal for you." The client adds: "The guys I worked with were super. The most important thing is that you get a first tier guy in the deal when it matters, sometimes after you sign on the deal, you have the senior partner not being involved, but that wasn't the case. They worked very hard, the most important thing is that the guys were very vocal in front of the clients to make sure the banks get a good deal."

Last year Badge and fellow partner Stuart Bedford acted for the arrangers, including Barclays Capital, Citigroup Global Markets Asia and Credit Suisse International, in a case that provided $6 billion in acquisition financing to Vedanta group for a controlling stake in Cairn Energy. In this complicated transaction, Badge and Bedford assisted the arrangers in the structuring of three facilities, team debt, equity bridge and high yield bridge, in one of the largest in-bound acquisitions in India to date. The acquisition price may go up to $9.3 billion depending on the size of the stake, which is still unknown.

Badge also advised lender Standard Chartered regarding a $500 million financing facility for Reliance Globalcom, an Indian company. Security was taken in England, New York and Bermuda, and legal counsel was sought in Cyprus, the Netherlands, and India. Because of complications arising from the multiple jurisdictions, the deal took a month longer than expected to close.

Led by Joseph Bevash, who splits his time between Singapore, Hong Kong and Tokyo, the Latham team maintains its tier two position this year after another good string of mandates.

Partners Clarinda Tjia-Dharmadi and David Miles advised arrangers HSBC, Bank Mandiri, Australia and New Zealand Banking Group and Crédit Agricole, among others, regarding a $400 million bank loan for PT Saptaindra Sejati. This was the first time an Indonesian company has raised a large facility with a lengthy seven-year tenure.

Miles also represented borrower STATS ChipPac in securing a $360 million senior secured loan so that the company could repay outstanding debt. The arrangers of the syndicated term loan were Bank of America, Credit Suisse, DBS, Deutsche Bank, Oversea-Chinese Banking Corporation, Sumitomo Mitsui Banking Corporation and United Overseas Bank.

After moving up a tier last year after strong market recommendations, Milbank has managed to consolidate its position in the banking space this year, building on its strong project finance foundation.

Last year managing partner David Zemans advised the creditors to Darma Henwa, including Unived Overseas Bank , on the restructuring of $205 million in a facilities' agreements arranged since December 2006.

Associate Melissa Lewis also assisted lender DBS bank in structuring a loan of S$700 million ($581 million) to Universal Group Holdings.

Norton Rose moves to the second tier this year as it continues to expand its Asia practice.

On a global scale, 2011 has seen the firm greatly expand its reach following a double merger with Denys Reitz of South Africa and Ogilvy Renault of Canada. This adds to the continued incorporation and expansion of Norton Rose Australia, which has seen the firm make a concerted effort to shore up its international network.

Although project finance in the form of energy and natural resources based mandates may be the firm's bread and butter, the market response this year shows that in straight bank lending the firm is also making its mark.

One landmark transaction for the firm last year saw partner Yu-En Ong represent Australia and New Zealand Banking Group, HSBC and the Cooperative Centrale Raiffeisen Boerenleenbank on a $1.3 billion and A$600 million ($519 million) syndicated loan facility for Wilmar International. The loan was intended to fund its acquisition of Sucrogen from CSR, and illustrates Norton Rose's cross-border capabilities with its office in Australia.

Partners Jeff Smith and Nicky Davies are also advising Indonesian electricity utility PLN and the International Finance Corporation (IFC) on the $2.5 billion financing of a 2000MW Central Java power project, the largest greenfield under development in Indonesia.

The profile of Ashurst's Singapore banking practice has skyrocketed this year due to its work on several influential Singapore deals. A highlight is the firm's involvement in the $1.3 billion financing deal for the Singapore Sports Hub public-private-partnership (PPP), led by Singapore partner Matthew Bubb. Bubb, along with other Ashurst personnel in both Hong Kong and Singapore, is advising lenders Credit Agricole, BTMU, SMBC, National Australia Bank, Natixis and Standard Chartered Bank, among others. This project is the largest PPP to date in Asia.

Partner Mark Davies is handling two ongoing transactions in relation to the structuring and establishment of private equity funds. Davies is advising General Atlantic regarding the formation of a private equity fund focused on investments in India and China. Davies is also representing Capital Advisors Partners Asia, which aims to create a $350 million fund focused on Southeast Asia investments.

Peers have mixed reviews of Baker & McKenzie.Wong & Leow's performance this year, but it retains its ranking due to strong Southeast Asian ties that prove enormously useful to Singaporean clients. "Though the experience in Indonesian market is extensive among the other firms, international firms can't advise on Indonesian law," says a client. "Baker's has an advantage because of its relationship with an Indonesian firm that allows a one-stop shop service."

Clients praise up-and-coming associate principal Henry Cort in particular. "He's quite responsive," a natural resources client says. "His expertise is quite broad, especially in regard to power."

Baker & McKenzie attracts large corporate clients because of its comprehensive international network, and its Singapore banking practice regularly represents Standard Chartered Bank, the Australian and New Zealand Banking Group, Natixis, Morgan Stanley and Raiffeisen Bank International.

Herbert Smith bolstered its banking practice with the October 2010 arrival of noted partner Adrian Cheng from the firm's London office. "Adrian Cheng is a really sharp guy," a client notes.

Cheng was the lead partner in advising BNP Paribas and Standard Chartered Bank regarding a $140 million secured acquisition bridge facility, which was created so that Salamander Energy could acquire a 100% interest in the Bualuang field in the Gulf of Thailand.

In another energy-related banking transaction, Cheng acted for BNP Paribas and Commonwealth Bank of Australia as both Singapore and English law counsel in a US $80 million secured borrowing base facility for Coastal Energy Company, which financed its interests in the Phu Horm and Bua Ban gas fields in the Khorat and Songkhla basins off Thailand's shore.

Hogan Lovells Lee & Lee has substantially increased the capabilities of its banking practice in the last year. Andrew Carey moved from the London office to Singapore, while Philip Robb was seconded to the Singapore office in 2010. Though well-regarded partner Ken Hawkes has left the firm, James Harris, a partner and the head of the firm's Singapore corporate practice, remains a force in the market.

Harris is advising Asian Development Bank in a $40 million financing transaction for Sarikat SESCO Berhad to construct a 275kV transmission infrastructure in Malaysia, specifically from Sarawak to West Kalimantan Link.

In another financing transaction, senior associates Yvette Abel and Lawrence Low acted for Standard Chartered Bank, Citibank, swap providers and facility agent on the financing for a 600 MW GN power project in the Philippines. The financing was worth $800 million.

White & Case has built up its banking and finance team in the last 12 months, transferring and recruiting Singapore-based partners to broaden its expertise and relationships. The firm added project finance partner Ken Hawkes and counsel Niel Liebenberg, both from Hogan Lovells, and transferred structured finance specialist David Barwise to Singapore.

Partner Kate Allchurch also advised lender Axis Bank in English law matters in relation to a $74 million bilateral loan to Crescent Investment.

Partner Guan Feng Chen represented PT Bayan Resources, a listed company on the Jakarta Stock Exchange and of Indonesia's biggest coal producers, regarding a $300 million senior secured financing transaction provided by Standard Chartered Bank, Sumitomo Mitsui Banking Corporation and Australia and New Zealand Banking Group.

DLA Piper's banking practice has been hit by several departures over the last year. Managing partner Martin David is the only partner that remains in the firm's banking and finance area, and is supported by two associates.

Though its practice is small, the firm maintains its standing in the Singapore market, handling work from a prestigious clientele, including the Asian Development Bank.

"O'Melveny & Myers' lawyers are technically sound, but you tend to meet a lot of people who are sound in technical understanding," a client says. "The trick is to be commercial and understand where things can be innovated, and that's where this firm excels."

Partner Bertie Mehigan, head of the firm's banking and finance practice, has acted for clients as varied as the Government of Singapore Investment Corporation, Deutsche Bank, ADM Capital, ICICI Bank and Targus Group International in the last year.

In a highlight transaction, Mehigan advised Credit Suisse as lender in a $250 million refinancing secured term loan facility to Finspace, which is a holding company within the Canadoil group of Thai companies. This was an especially complex deal because it required structuring and negotiations that would cover six jurisdictions, Cyprus, Luxembourg, Spain, Thailand, Singapore and England.

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.