Slaughter and May is advising Lai Sun Garment and Lai Sun Development on a voluntary general offer for Lai Fung

Slaughter and May is advising Lai Sun Garment (International) Limited (LSG) and Lai Sun Development Company Limited (LSD) on LSD’s conditional voluntary general offer to acquire all the shares in Lai Fung Holdings Limited (Lai Fung) not held by LSD or its wholly-owned subsidiaries and the corresponding offer to cancel all of its outstanding share options (the Offers). The maximum amount of cash required to implement the Offers is approximately HK$3.1 billion.

LSG and its subsidiary, LSD, are listed on the Main Board of the Hong Kong Stock Exchange. LSG and its subsidiaries are principally engaged in property investment, property development, investment in and operation of hotels and restaurants, media and entertainment, music production and distribution, films, video format products and television programmes production and distribution, cinema operation, cultural, leisure, entertainment and related facilities and investment holding. LSD and its subsidiaries are principally engaged in property investment, property development, investment in and operation of hotels and restaurants, media and entertainment, music production and distribution, films, video format products and television programmes production and distribution, cinema operation, cultural, leisure, entertainment and related facilities and investment holding.

The Offers constitute a major acquisition and a connected transaction subject to shareholders’ approval for LSG, a major acquisition for LSD and a very substantial disposal and a connected transaction subject to shareholders’ approval for eSun Holdings Limited (eSun) (which is 74.62% owned by LSD) under the Hong Kong Listing Rules.

LSD currently holds 0.005% of the shares in Lai Fung through a wholly-owned subsidiary and 50.99% through a listed subsidiary, eSun. Lai Fung is listed on the Main Board of the Hong Kong Stock Exchange. Lai Fung and its subsidiaries are principally engaged in property development for sale, property investment, and development and operation of and investment in cultural, leisure, entertainment and related facilities.

Slaughter and May advised Lai Sun Garment and Lai Sun Development on its voluntary general offer for eSun and the related mandatory general offer (chain principle offer) for Lai Fung in 2018.