On 28 July, 2016, EC World Real Estate Investment Trust (EC World REIT) completed its red chip listing on the main board of Singapore Exchange (SGX); King & Wood Mallesons advised the underwriters in the project. With the subscription and syndicated financing by cornerstone, institutional and retail investors, EC World REIT raised a total of SGD 1.07 billion, approximately RMB 5.2 billion. The successful listing of EC World REIT is a representative case with many “firsts” for Chinese enterprises going public on the main board of SGX: the first listing of a Chinese logistics and e-commerce operating assets, the first Chinese private REIT listed in Singapore; the largest fundraising project in Singapore by a Chinese enterprise in the last decade.

EC World REIT consists of 6 e-commerce and logistics assets: North Harbor Logistics, Chongxian Port Investment, Chongxian Port Logistics, Fuzhuo Industrial Limited, Fuheng Warehouse and Hengde Logistics. In the course of the listing, EC World REIT received support from eighteen renowned financial institutions, setting a precedent in Singapore’s listing history.

KWM acted as the underwriters’ PRC counsel throughout the project, providing key legal opinions on the red chip listing structure, listing asset packaging, and foreign currency regulation, relied by the SGX and the Monetary Authority of Singapore for project assessment. KWM’s banking team also provided legal services for the project’s onshore and offshore syndicated loans. This project was led by partners Wang Lixin and Feng Ai with support and collaboration from partners Stanley Zhou, Xiao Lan and Sun Haotian.

Mr. Wang Lixin said, “We are happy to assist another Chinese enterprise ‘go global’ as China presses ahead with its One Belt One Road initiative. We combine our team’s exceptional practical capabilities, extensive experience and unique advantages in large scale cross-practice transactions with KWM’s local depth, global vision and resources. The project demonstrates our strengths in helping our clients in Singapore and beyond seize business and capital opportunities and providing optimal legal services in international capital markets.”