DeHeng Advised Central China Securities – Henghexin Phase 1-20 Asset-

backed Security on Obtaining the No-Objection Letter 

2021-05-25

On April 23, 2021, Shanghai Stock Exchange issued a no-objection letter on the issuance of the Central China Securities – Henghexin Phase 1-20 Asset-backed Security. This ABS was initiated by Shenzhen Henghexin Commercial Factoring Co., Ltd. as the original equity owner of the underlying assets and by Central China Securities as the portfolio manager.

The underlying assets are the trust beneficiary rights enjoyed by the original equity holder in respect of the trust, which are transferred by the original equity holder to the portfolio manager on the establishment date of the security. The security will be issued in installments, with the total value to be issued up to RMB 10 billion in no more than 20 installments.

As the legal counsel for the project, the DeHeng team, led by partner Yu Yunbo, with primary support from Zhu Yijing and Zhao Yueyang, provided professional, comprehensive and high-quality legal services for the client. They designed and verified the deal structure, conducted legal due diligence on the underlying assets, drafted and modified transaction documents, issued final legal opinions and offered comprehensive solutions and opinions on various legal issues. In the future, DeHeng will continue to provide high-quality legal services to our valued clients in the area of asset securitization.