The target company CISMIG (Cambodia Iron & Steal Mining Industry Group) is a private limited company established in Cambodia, engaging in exploitation of iron ore. As the first purchaser, a client of JINYI, proposed to purchase 51% of the shares of CISMIG. JINYI lawyers drafted the Framework Agreement on Share Purchase and subsequently initiated the share purchase process. JINYI finished the due diligence on the target company and the laws in Cambodia wth the help of an Australia law firm Allens Arthur Robinson. JINYI lawyers worked on the spot in Cambodia on several occasions during the investigation process. The negotiation last for several months. Eventually JINYI lawyers, on behalf of our client, reached an agreement on the price for the transfer, method of payment, the rights and obligations of the parties, corporate governance in the future and other significant issues with the other parties. The client finally finished the shareholder registration and became the controlling shareholder.

 

This case was the biggest M&A project handled overseas by Wuxi companies in 2007.