Sidley represented Jiayuan Services Holdings Limited (HKEX: 1153) (Jiayuan Services) as Hong Kong counsel in its initial public offering (IPO) on the Main Board of the Stock Exchange of Hong Kong (HKEX). The offering has raised approximately HK$518 million (approximately US$66.7 million) (after deducting the underwriting commissions and other estimated expenses in connection with the global offering). Haitong International Capital Limited and Guotai Junan Capital Limited acted as joint sponsors in the transaction.
The listing is a spinoff of property management business from Jiayuan International Group Limited (HKEX: 2768) (Jiayuan International), a controlling shareholder and an established property developer in Jiangsu province, which will indirectly hold 75% of the issued share capital of Jiayuan Services immediately upon completion of the capitalization issue and the global offering, assuming that the over-allotment option is not exercised.
Jiayuan Services is a leading comprehensive property management service provider in Zhejiang province with a proven track record of robust growth. According to China Index Academy, in 2019, it was ranked fifth by gross floor area under management of the top 100 property management companies headquartered in China’s Zhejiang province.
The Sidley team on this IPO was led by partners Renee Xiong and Sherlyn Lau. Other team members included counsels Iris Yuen and Julia Zhu; associates Vicky Zheng, Yuhang Li, and Vanessa Lee; legal manager Darren Tai; senior legal assistants Ariel Liu, Felix Chen, and Grace Hua; and legal assistant Jiefei Yao.
Sidley has advised on more than 24 Hong Kong IPOs by property management companies since 2014. Sidley is the legal adviser with the largest number of deals in this sector. Additionally, Sidley remains the No. 1 legal adviser in the Hong Kong IPO league table by deal volume in the past 24 months (December 2018 to November 2020), according to the most recent data compiled by Ryanben Capital.