Foreign Direct Investment
JunHe is proud of contributing to the economic reform of China and its interactions with the outside world over the past three decades. JunHe has represented numerous multinational companies, family businesses, and investment funds in their greenfield investments, mergers and acquisitions, joint ventures, restructuring, and exit projects in China. Many foreign investment enterprises which JunHe assisted in setting up continue to use JunHe as their long-term outside counsel. JunHe has also represented many domestic clients in all kinds of business transactions with their foreign business partners. Our clients cover a wide range of industries including real estate, mining, energy, banking, insurance, securities, industrial products, FMCG, automobiles, aviation, pharmaceuticals, medical devices, telecommunication, technology, Internet, media, advertising, entertainment, sports, logistics and public utilities. Many clients have been with us for more than 10 years.
JunHe’s foreign investment team has approximately 60 partners and more than 150 attorneys across China. All our attorneys are graduates of well-known Chinese and international law schools. Many attorneys are qualified to practice not only in China, but also other jurisdictions including the United States, New Zealand and Hong Kong. More than 90% of our lawyers have the ability to work in both Chinese and English. As experts with extensive experience in their respective areas of practice, our attorneys frequently give presentations, publish papers, and are often invited to comment on draft legislation in China.
Our professionals have diverse backgrounds. Many of them have work experience at international law firms, legal departments of multi-national companies, investment banks, regulatory authorities, courts, procuratorates and accounting firms. The diversity of our professionals ensures that we can quickly understand and respond to the needs of our clients, and give value-added and cost-effective legal advice.
Core Areas of Practice
Our legal services in foreign investment mainly include:
to assist foreign companies in conducting legal due diligence investigations of their Chinese partners, and to draft and/or review relevant cooperation agreements;
to provide Chinese legal opinions on business models of foreign companies in China;
to assist foreign companies in establishing, altering and terminating their business operations in China, which may be in the form of representative offices, wholly foreign-owned enterprises, Sino-foreign equity joint venture enterprises, Sino-foreign cooperative enterprises, partnerships, venture capital enterprises, equity investment enterprises, investment companies, regional headquarters, etc., and to draft and review relevant legal documents;
to provide advice with respect to regulatory matters such as government approval, filing and registration, and assist clients in complying with the regulatory requirements;
to draft and review business cooperation agreements, distribution agreements, supply agreements, purchase agreements, license agreements, confidentiality agreements and other business contracts, and participate in negotiations as requested by our clients;
to advise on all kinds of legal questions encountered by foreign investment enterprises during their daily operation, and assist clients in improving their corporate governance;
to assist foreign investors and foreign investment enterprises in settling disputes before litigation or arbitration;
to handle legal issues during the merger, division, restructuring, exit, retrenchment, dissolution or liquidation of foreign investment enterprises; and
to provide legal review and training support to foreign investment enterprises with respect to the major legal issues that may impact their daily business operation.
Highlights of Our Team
Our attorneys have excellent professional skills, extensive business experience and specialized practice areas. We borrow from international practices and adapt them to fit the regulatory and business requirements in China. We closely follow the latest legal developments in the industrial sectors regulated for foreign investment and keep our clients abreast of the latest legal changes.
Recent Representative Cases
Restructuring of an Auto Parts Manufacturer: From 2013 to 2018, JunHe represented a world-renowned auto parts manufacturer and provided it with comprehensive support for its business restructuring in China. JunHe represented the client in its sale of joint ventures located in Changchun, Wuhu, Ningbo and Xiangtan, and helped to deal with complex land, foreign exchange and tax issues in the process of the restructuring and to adjust its operational structure in Greater China (including Hong Kong). As the sole legal service provider, JunHe provided the client with a full chain of services from drafting and reviewing transaction documents to negotiation and closing.
Rechargeable Battery Production and Sales Joint Ventures: In 2016, JunHe represented a company listed on the New York Stock Exchange in cooperation with an A-Share listing company to establish two joint venture companies in China which respectively engages in the production and sale of auto components and auto parts. The total investment of this joint venture project was approximately USD 349 million. JunHe was responsible for the drafting and negotiation of the joint venture contracts and other ancillary agreements and conducting due diligence investigations of the Chinese party of the joint venture. JunHe also provided legal opinions on issues relating to anti-monopoly and listing companies and other relevant issues concerning Chinese law.