Cases & Deals

CCB International Asset Management invests in Mingyuan Medicare Development Company in PIPE transaction

Clients CCB International Asset Management Limited

Jones Day advised CCB International Asset Management Limited in its subscription of Convertible Bonds at an aggregate principal amount of HK$233 million (US$30 million) in conjunction with Warrants issued by Mingyuan Medicare Development Company Limited, a leading bio-medical company in China that develops, manufactures and markets innovative medicare solutions for the early detection and prevention of diseases, placement agent Citigroup Global Markets Asia Limited. The total number of shares to be issued under the Bonds and the Warrants represented approximately 19.5% of the issued share capital of Mingyuan Medicare Development Company Limited as of the closing date. Compared to similarly structured Hong Kong structured PIPEs, the terms of the Convertible Bonds and Warrants are complex and involve IRR computation that varies with changing circumstances of the issuer and the pledging of different forms of security interests at different levels of the issuer.