Dacheng Advises South China International Leasing Co., Ltd. on Shougang Guiyang’s Cross-border Finance Lease

On February 15, 2015, RMB200mln worth of cross-border financing and a finance lease deal were both completed by Shougang Guiyang Special Steel Co., Ltd. (“Shougang Guiyang”), South China International Leasing Co., Ltd. and Industrial and Commercial Bank of China (Asia) Limited ("ICBC (Asia)"). A Dacheng team composed of Beijing-based senior partner Kuang Shuangli, Shenzhen-based partner Wang Wenbing and associate Huang Qibai provided legal counsel for the deal. 

Although the amount of financing is not huge, the deal was quite challenging due to the fact that multiple parties were involved and the transaction was complexly structured and that Shougang Guiyang was in urgent need of fund while ICBC (Asia) had strict risk management requirements. Nevertheless, the team led by Kuang withstood the pressure and completed drafting all necessary documents, issuing attorney’s opinion letter and confirming terms of loan in a short time. 

South China International Leasing Co., Ltd., the leasor, is one the first foreign-owned finance lease companies established with approval from Ministry of Foreign Trade and Economic Cooperation in 1989. The company enjoys a good reputation and operates all over China.