Ashurst advises long standing client ITOCHU on the HKD7 billion privatisation of CP Pokphand

Global law firm Ashurst represented ITOCHU Corporation ("ITOCHU") as 25% shareholder on the HKD7 billion privatisation of CP Pokphand Co. Ltd. ("CP Pokphand") by way of a scheme of arrangement.

CPF Investment Limited ("CPF Investment"), the offeror, has made an offer to privatise CP Pokphand by way of a scheme of arrangement for a total consideration of HKD6.99 billion. ITOCHU is a 25% shareholder in CP Pokphand and has agreed with CPF Investment to roll over its stake after completion of the privatisation. ITOCHU will continue to play a strategic role and contribute to the sustainable development and growth of the company. 

The rollover arrangement between CPF Investment and ITOCHU amounts to a special deal under the Takeovers Code requiring the consent of the Takeovers Executive and approval of disinterested CP Pokphand shareholders.

Lead partner Chin Yeoh commented, "We are delighted to advise ITOCHU in respect of the HKD7 billion privatisation of CP Pokphand and entry into the Rollover Agreement with CPF Investment. We advised ITOCHU in 2014 on its acquisition of a 25% stake in CP Pokphand and strategic alliance with Charoen Pokphand Group and we are delighted to continue to support ITOCHU in relation to this important investment."

The Ashurst team was led by partner Chin Yeoh, assisted by Roger Dong and Lloyd Meng.