Norton Rose Fulbright has advised Renhe Commercial Holdings Company Limited on its HK$6.5 billion acquisition of an agricultural produce markets business in the People’s Republic of China.

Renhe Commercial Holdings Company Limited is a major developer and operator of underground malls in large and mid-sized cities across China, and is listed on the main board of the Hong Kong Stock Exchange.

The acquired business includes eight agricultural produce markets engaging in wholesaling and retailing of vegetables and other food produce in six cities of the People’s Republic of China.

The consideration for the acquisition, together with the amount of the loans to be assumed by the company upon completion, was HK$6.5 billion. Part of the consideration was settled by HK$5.02 billion allotment and issuance of 12,244,000,000 new shares by Renhe Commercial to the vendor. The transaction constitutes a very substantial acquisition and connected transaction under the Hong Kong Stock Exchange Listing Rules.

The team was led by Hong Kong partner Psyche Tai, assisted by senior associates Rachel Chan and Eva Tsui, associate Marco Cheng and trainee Elfleda Wong.