Recently, Morgan Stanley has participated, as a note purchaser, in the issuance of billions of US dollar exchangeable notes by a Chinese central-level state-owned enterprise’s overseas subsidiary. The purpose of this financing transaction was to raise fund for overseas acquisitions by the Chinese state-owned enterprise. The Chinese parent company of the note issuer provided cross-border guarantee for the financing transaction.
Morgan Stanley has also provided a US$300,000,000 syndicated loan to Hong Kong Bohai Leasing Asset Management Corp., Limited recently, an overseas subsidiary of Bohai Capital Holding Co., Ltd (“Bohai Capital”). Morgan Stanley acted as the sole lead arranger, bookrunner and administrative agent in the transaction. Bohai Capital provided cross-border guarantee for the loan.
As the PRC counsel for Morgan Stanley, Zhong Lun Law Firm worked together with the Hong Kong office of an international law firm headquartered in London and the New York headquarters of an international law firm respectively under the two transactions. The legal team from Zhong Lun Law Firm was led by Michael Zhang, and the key team members included Richard Tan and Tu Hao.