Deheng provides specialized legal services for the equity transactions of companies under Mahler, a globally leading development partner and component supplier in the automotive industry

2025-09-02

MAHLE, a leading global development partner and supplier to the automotive industry, has completed the sale of its 40% minority stake in Langfang Kokusan Electric Co., Ltd., further streamlining its business portfolio. Of this, 28.5% was acquired by co-shareholder Langfang Jinrun Technology Group Co., Ltd., while the remaining 11.5% was purchased by fellow shareholder Langfang State-owned Assets Management Co., Ltd. The parties executed the transaction documents in January 2025 and, following customary regulatory approvals, successfully closed the deal.

DeHeng served as MAHLE’s legal counsel. Given the project’s long history, the involvement of multiple stakeholders, and the need for cross-border coordination, our team assisted the client in clarifying the equity structure and corporate governance background, and designed a prudent and efficient exit strategy aligned with PRC legal practice. We were actively engaged throughout all critical phases of the transaction, advising on key issues including equity transfer mechanisms, exit protections, and foreign exchange compliance. Drawing on our extensive experience in M&A and exit transactions, we supported the client in multiple rounds of negotiations with the counterparties, carefully balancing commercial objectives with compliance requirements. At the same time, we worked closely with MAHLE’s German headquarters to ensure consistency of cross-border legal strategy, seamless information sharing, and efficient decision-making.

This transaction further strengthens DeHeng’s reputation for excellence in cross-border corporate investment. We remain committed to delivering solutions that integrate commercial insight with legal precision in complex business environments. Once again, this matter highlights our comprehensive capabilities in M&A and exit transactions. Over the years, we have consistently provided in-depth legal support in similar deals for both domestic and international clients, earning their continued trust.