Sinopharm Group, an investment consortium led by Sinopharm Group, and China Traditional Chinese Medicine Holdings (China TCM) recently announced a take-private deal for the Hong Kong-listed China TCM through a scheme of arrangement.

The total transaction amount is approximately $2 billion, marking the largest take-private deal announced so far this year.

Haiwen & Partners served as legal counsel to one of the consortium members of the offeror, China State-Owned Enterprise Mixed Ownership Reform Fund, providing legal services in both Mainland China and Hong Kong. Meanwhile, Clifford Chance acted as the legal advisor to CITIC Securities, the financial advisor to the offeror.

The consortium behind the offeror comprises the Mixed Ownership Fund, Sinopharm (Hong Kong), Advanced Manufacturing Industry Investment Fund Phase II, China Reform Development Investment Management, Chongqing Fuling Industry Development Group, and Red Investment Limited.

China TCM primarily engages in the production and sale of traditional Chinese medicine and pharmaceutical products, focusing on Chinese medicine granules, patent medicines, and Chinese medicinal slices. China TCM has been listed in Hong Kong since 1993.

The Haiwen team was led by partners Wu Zuolong and Lin Xixiang, while partner Tommy Tam led the Clifford Chance team.