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Herbert Smith Freehills helps long-term tech client TCL complete strategic transformation / 史密夫斐尔为科技行业长期客户TCL完成战略转型提供助力

29 July 2020 | China
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Global leading law firm Herbert Smith Freehills has advised consumer electronics manufacturer TCL Electronics Holdings Limited on an asset restructuring as part of a business transformation by its parent company TCL Holdings.

Under the terms of agreement, TCL Electronics acquired TCL Communication from its parent in a cash consideration of RMB1.5 billion and disposed of its interest in subsidiary Moka International in a cash consideration of RMB2.5billion. TCL Communication is one of the world’s leading mobile device companies with provision of Internet applications and services to its users while Moka International is engaged in TV ODM business with shipments of 11.36 million units in 2019. 

“It is gratifying to see TCL’s continued growth over the past 12 years that I have been advising the company,” said Tom Chau, Head of Beijing office, “Congratulations to TCL on making significant progress in its business transformation which has created the fundamentals for its future development.”

“The deal was completed during the uncertainties of the pandemic, and all professionals participating in the deal had to collaborate closely to meet the timeline despite the difficulties.”

“We are grateful for the trust that the client placed in us, reflecting the strength of our long-term relationship,” said Tom.

As usual, other than providing general legal advice, the team also contributed suggestions on the client’s strategic business development. This is consistent with a commentary made by the People’s Daily in August 2019 – Tom is used to provide strategic advice to clients in outbound M&A transactions. Upon completion, TCL Electronics will shift its focus from asset-heavy and labour-intensive ODM businesses to mobile device and Internet applications and services, paving the way for its parent company’s new  “AI x IoT” strategy and a plan to “build a smart living ecosystem”.

Tom led the team, supported by senior associate Sherry Lai in Hong Kong and paralegal Iris Zhu in Beijing.

全球领先的律师事务所史密夫斐尔为消费电子制造商TCL电子控股有限公司(以下简称“TCL电子”)的资产重组提供法律服务。该重组是其母公司TCL实业进行业务转型的一部分。

根据交易条款,TCL电子以15亿元人民币现金从母公司收购了TCL通讯,并以25亿元人民币现金出售了其在子公司茂佳国际的权益。TCL通讯是全球领先的移动设备公司之一,为用户提供互联网应用和服务;茂佳国际从事电视机代工制造业务,2019年出货量为1136万台。

史密夫斐尔北京办公室管理合伙人邹兆麟表示:“在过去的12年里,我一直为TCL提供法律建议,看到TCL能够实现持续不断的发展我感到十分欣慰。祝贺TCL在业务转型方面取得的重大进展,这将为其未来发展奠定坚实基础。”

“此次重组是在新冠疫情造成的不确定环境下进行的,尽管困难重重,参与交易的所有专业人士都密切配合,尽全力满足时间表的要求。”

邹兆麟表示:“我们非常感谢客户的信任,这反映了我们长期合作关系的坚固。”

与往常一样,团队在提供一般性法律意见以外,还就客户的战略业务发展提供了建议。正如《人民日报》在2019年8月的一篇报道中评价——邹律师能够在海外并购交易中为客户提供战略性建议。重组完成后,TCL电子将把重心从资产密集型、劳动密集型的代工制造业务转向移动设备和互联网应用及服务领域,为母公司“人工智能加物联网“战略的实施以及”打造智慧生活生态”的计划铺平道路。

合伙人邹兆麟领导此次团队,香港办公室黎翠芬(Senior Associate)和北京办公室朱梓萱(Paralegal)提供协助。
 

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Sally Greig, Head of Communications, Asia

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VIVIAN HUANG, COMMUNICATIONS MANAGER, CHINA

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