Davis Polk & Wardwell and Paul Hastings have advised on Chinese furniture and building material retailer Red Star Macalline Group Corp’s $925 million IPO in Hong Kong.
Red Star, backed by private equity firm Warburg Pincus, secured $330 million worth of commitments from five cornerstone investors, including Falcon Edge, Hong Kong Gree Electric Appliances Sales and China National Building Material Company, Reuters reported.
Davis Polk advised Red Star, led by Hong Kong partners Bonnie Chance and Antony Dapiran, and Beijing partner Li He. Llinks Law Offices advised the retailer on PRC law.
A Paul Hastings team led by Hong Kong partners Raymond Li, Sammy Li, Edwin Kwok and Steven Winegar advised the underwriters on the listing, which included CICC, Goldman Sachs, Morgan Stanley, Citigroup and China Merchants Securities. Commerce & Finance Law Offices served as PRC counsel to the banks.
Red Star operates 158 shopping malls across 115 cities in mainland China. The retailer will use the proceeds from the IPO to fund nine new shopping malls, make additional acquisitions, and pay off debt.
