DeHeng Advised Shuanghui Investment & Development
on Obtaining CSRC Approval for Private Placement of A Shares
2020-08-19
On August 17, 2020, Henan Shuanghui Investment & Development Co., Ltd. obtained approval from the Public Offering Review Committee of China Securities Regulatory Commission (CSRC) for its private placement of A shares.
Over the years, Shuanghui Investment & Development has always focused on slaughtering and meat processing as its principal business, seized opportunities and overcome difficulties in pursuing innovation-driven development. It has formed five major advantages in brand scale, distribution network, equipment-based quality control, technological innovation, and human resources management. It continues to make progress in leading the reform of the industry, and has grown from a local company in Luohe to a national and even a global brand. It has become the leader in Chinese meat industry with the strongest core competitiveness.
In the first half of 2020, in the face of pressures and challenges brought by the COVID-19 pandemic, the African swine fever epidemic and meat price inflation, Shuanghui Investment & Development, as a leading company in China’s meat industry, stood up to ensure the supply of meat products for average consumers. It continued to adjust the structure, expand the network, push forward transformation, and scale up, while fighting the COVID-19 and swine fever, ensuring workplace safety, and strengthening management and operations. It registered a year-on-year increase of 58.96% in operating income from the slaughtering business and 18.02% year-on-year increase in operating income from meat products. According to this non-public issuance plan, Shuanghui Investment & Development plans to issue 331,928,219 shares to no more than 35 specific investors in private, and raise no more than 7 billion yuan. Through this fund-raising, Shuanghui Investment & Development will further improve the pork industry chain, scale up the poultry business, supplement its existing slaughter and meat product business, and continue to expand and strengthen the principal business, thereby further enhancing the overall strength and promoting high-quality, stable corporate development.
As the legal counsel for the sponsor (lead underwriter) of this non-public offering, DeHeng team was led by partner Xu Jianjun, with primary support from advisor Dong Chen, Tian Hao and Wang Anqi. Despite the COVID-19 outbreak, DeHeng lawyers continued to work on the project site while strictly complying with local and DeHeng's epidemic response rules, and provided high-quality and professional legal services for the non-public issuance, winning high praises from the client.
