Dechert Advises New Century Asset Management Limited on the First Successful Delisting and Deauthorization of a Hong Kong-listed REIT
Global law firm Dechert has advised New Century Asset Management Limited (“NCAML”), the manager of New Century Real Estate Investment Trust (“New Century REIT”), on the deauthorization and delisting of New Century REIT from the Hong Kong Stock Exchange, effective from 31 August 2021. This marks the first successful delisting and deauthorization of a Hong Kong-listed REIT and completes the final stage of New Century REIT’s privatization. New Century REIT was a Hong Kong collective investment scheme authorized under section 104 of the Securities and Futures Ordinance and constituted as a unit trust. It was also the first China-based hotel REIT in the world.
Dechert previously advised on New Century REIT’s disposal of all its operating assets to Huge Harvest International Limited, the largest unitholder of New Century REIT, as well as its subsequent termination and liquidation.
Stephen Chan, Hong Kong-based partner at Dechert, led the completion of the privatization deal. He was also the Hong Kong legal counsel to NCAML on the listing of New Century REIT on the Hong Kong Stock Exchange in 2013.
He commented: “We are honored to have had the opportunity to support NCAML throughout the entire privatization journey of New Century REIT, which has set a number of milestones for the Hong Kong REIT market since the day it was first listed. This is also a great demonstration of how our team is able to bring our full-on service capabilities to support significant REIT transactions, from IPOs, follow-on acquisition and disposals, to delisting and deauthorization, among other related regulatory matters.”
The Dechert team advising on the privatization deal included partner Stephen Chan and associates Charles Lam and Jacqueline Foo in Hong Kong.
Dechert is a leading global law firm with 22 offices around the world. We advise on matters and transactions of the greatest complexity, bringing energy, creativity and efficient management of legal issues to deliver commercial and practical advice for clients.