DeHeng Advised China Construction Science

and Technology Corporation on Establishing

the Asset-Backed Supply Chain Financing Scheme

2020-01-17

On January 10, 2020, CITIC Securities - Linklogis - CSCEC Steel Supply Chain Asset-backed Financing Scheme Phase 1 was successfully established. It obtained the non-objection letter from Shanghai Stock Exchange on November 26, 2019 for multi-tranche offering with one approval. Shenzhen Qianhai Lianjie Commercial Factoring Co., Ltd. was the original equity holder and China Construction Science and Industry Corporation Ltd.(formerly known as CSCEC Steel) the core enterprise. The scheme will issue no more than 10 tranches of asset-backed securities worth no more than RMB 3 billion.  

China Construction Science and Industry Corporation is a subsidiary of China State Construction Engineering Corporation (CSCEC). It is famous for undertaking "high-level, large, cutting-edge" engineering projects. It has built a large number of large-scale, technologically-demanding, tight-schedule landmark projects at home and abroad through steel structure contracting, EPC and PPP modes. It boasts several records in China, including those for the country's "earliest," "highest," "largest" and "fastest-built" steel structures. In its relentless pursuit of technological innovation, it has established high-level research institutes and design institutes, built a complete R&D and design system, and enjoyed unique and leading technical advantages.

As the legal counsel for the scheme, the DeHeng team is led by Liu Zhengguo and Liao Mingxia, partners of its Shenzhen office, with primary support from lawyers Xu Yu and Fang Yan and trainee solicitors Pan Ruijin and Wang Meiling. They have provided whole-process efficient legal services for the scheme, and will continue to do so for the issuance of the follow-up tranches.