On June 22, 2021, China Railway Construction Heavy Industry Group Co., Ltd (“CRCC”, stock code 688425) was successfully listed on the Science and Technology Innovation Board of the Shanghai Stock Exchange, raising a total capital amount of around RMB 3.688 billion. If the over-allotment option is fully exercised, the total amount of funds raised will be approximately RMB 4.242 billion. JunHe represented the issuer in this project.
China Railway Construction Heavy Industry Group Co., Ltd (CRCHI) is the subsidiary of China Railway Construction Co., Ltd. (“China Railway Construction”, stock code:601186), a listed company with A+H shares. It is engaged in the design, development, manufacturing, sales, leasing, and service of road header equipment, rail-transit equipment, and special equipment. After the China Securities Regulatory Commission (CSRC) officially issued the “Provisions on Pilot-listing of subsidiaries of Listed Companies in China” (“Provisions on Spin-offs”) on December 12, 2019, the board of directors of China Railway Construction deliberated and approved the proposal to spin-off its subsidiary, CRCC Heavy Industry to be listed on the Science and Technology Innovation Board. This became the first “A split A” case announced in the market.
In this project, JunHe assisted the issuer in completing the listing on the Science and Technology Innovation Board and aided CRCC to complete the spin-off and listing demonstration and the drafting of the relevant meeting documents. JunHe also actively participated in the communication with the securities regulatory agencies. JunHe’s professionalism and efficiency have been highly recognized by the clients.
This project is the first domestic spin-off and listing case announced in the market after the official release of the “Provisions on Spin-offs”, which further consolidates JunHe’s leading position in the field of domestic and overseas spin-offs and listing projects. JunHe will continue to provide customers with efficient, high-quality, and professional legal services.
The leading partners of this project were lawyers DE, Lihua (Theresa), SHI, Tiejun, and LI, Zhi. The signing partners were SHI, Tiejun, LI, Zhi, and LIU, Xin. The main contracting partner was lawyer MA, Rui.