Our collection of resources based on what we have learned on the ground

Resources

Q&A

How is the current Mergers & Acquisition environment in China?

How is the current Mergers & Acquisition environment in China?

The environment for M&As in China continues to be dynamic. While majority of M&A activities involves with domestic companies, volume of China’s outbound transactions has surged and exceeded its inbound, making the country a net capital ...

Q&A

Why is it essential to conduct a thorough due diligence when acquiring companies...

Why is it essential to conduct a thorough due diligence when acquiring companies...

M&A is one of the key investment vehicles with which foreign companies can enter the Chinese market. Since the turn of the century, the Chinese government has progressively been introducing new taxation and regulatory frameworks to govern how com...

Q&A

How is the current legislative framework for company acquisitions in China?

How is the current legislative framework for company acquisitions in China?

The Chinese government has been striving to make the long and in-depth approval process of acquisition simpler. However, contradiction and legislative gaps still remain in the country’s company acquisition law as the Chinese government often ha...

Q&A

What are the important provisions that investors should refer to when acquiring ...

What are the important provisions that investors should refer to when acquiring ...

Foreign investors should note that different provisions apply to acquiring different forms of enterprises in China. “Provisions on Merger and Acquisition of Domestic Enterprises by Foreign Investors”(MOFCOM Order [2009] No.6, hereinafter,...

Q&A

How does the Chinese government handle security issues and anti-monopoly investi...

How does the Chinese government handle security issues and anti-monopoly investi...

Besides the anti-monopoly investigations stipulated in the PRC Anti-Monopoly Law and in Order No.6., an additional security review by the joint ministerial conference has been required since March 3, 2011, as indicated in “Notice on Establishme...

Q&A

What are some of the types of acquisitions and corresponding procedures?

What are some of the types of acquisitions and corresponding procedures?

In China, one company can acquire another in several ways, including purchasing some or all of the company’s assets or buying up its outstanding shares of stock. For share acquisitions, investors can acquire the equity or subscribe additional r...

Q&A

What is a “letter of intent” and what should be done after initial investiga...

What is a “letter of intent” and what should be done after initial investiga...

A “letter of intent” aims to outline the matters that the two parties are going to discuss and lay out the complete procedures for doing so. It is then crucial for both parties to employ an asset evaluation agency which is established und...

Q&A

What should a company do after signing an acquisition agreement?

What should a company do after signing an acquisition agreement?

Investors should apply for the “Certificate of Approval for Foreign Investment” from MOFCOM or its local level branches according to the investment amount, type of enterprise, and the industry to be invested. In addition, verification by ...

Q&A

Which party is responsible for registering new business licenses and what are th...

Which party is responsible for registering new business licenses and what are th...

After receiving the approval certificate from MOFCOM, foreign investors engaged in asset acquisitions have 30 days to register the acquired domestic enterprise as a foreign-invested enterprise(FIE) with the SAIC or its local branches. On the other ha...

Q&A

How is Corporate Income Tax determined for acquired companies in China?

How is Corporate Income Tax determined for acquired companies in China?

Under the PRC Corporate Income Tax (CIT) Law, which applies to both domestic enterprises as well as foreign and foreign-invested enterprises, income arising from the transfer of equity and assets (both fixed and intangible) is subject to CIT. While a...

Q&A

Why is it important to conduct due diligence before entering the Indian market?

Why is it important to conduct due diligence before entering the Indian market?

Carrying out due diligence can  provide an investor with substantial information on business opportunities in their proposed market.  In fact, it could be stated that the purpose of due diligence is not to learn everything about a business ...

Q&A

How can the due diligence process help a foreign investor to traverse the Indian...

How can the due diligence process help a foreign investor to traverse the Indian...

A company’s success is in turn linked to the risk management and mitigation strategy that it undertakes. It is in this regard that due diligence becomes a powerful tool that companies may utilize when dealing with Indian businesses. Due diligen...

Filter By

Topic

Country

Type of resource

Language

Enquire for more information about our services, and how we can help solve challenges for your organization

Contact Us
The code is case-sensitive