King & Wood Mallesons (KWM) advised CICC as the sole sponsor and sole global coordinator on the global offering and listing of Ferretti S.p.A. (Ferretti, Stock Code: 9638) on The Main Board of The Stock Exchange of Hong Kong Limited (SEHK).
Shares of Ferretti were listed on the SEHK on 31 March 2022. The global offering comprised a total of 83,580,000 shares. Priced at HK$22.88 per share, the listing raised gross proceeds of approximately HK$1.9 billion, or approximately US$246 million, assuming the over-allotment option is not exercised.
Ferretti is one of the oldest Italian luxury yacht producers with a portfolio of seven iconic brands: Riva, Wally, Ferretti Yachts, Pershing, Itama, CRN and Custom Line. Ferretti is controlled by Chinese state-owned heavy machinery manufacturer, Weichai Holding Group Co., Ltd. (“Weichai Group”). Mr. Piero Ferrari, Vice Chairman and Non-Executive Director of luxury sports car manufacturer Ferrari S.p.A., is also a shareholder, Vice Chairman and Non-Executive Director of Ferretti. Ferretti is the second Italian company ever listed in Hong Kong since Prada’s listing in 2011.
The KWM and Ferretti relationship dates back to 2012 where KWM Beijing team led by Partner and Head of KWM’s Cross-Border M&A Practice, Xu Ping, advised Weichai Group on its acquisition of the controlling stake in Ferretti a decade ago.
A cross-office KWM team worked closely on the transaction. Hong Kong Team Lead Partner of KWM’s ECM Practice, Candy Chan, with support from Sunny Lam, Kevin Ng and Jieshan (Coral) Yuan, advised CICC and the underwriters on Hong Kong laws. Hong Kong-based Partner Corey Zhang, with support from Yuyang Lin and Marcel Fan, advised CICC and the underwriters on US laws. KWM’s Milan office Managing Partner Davide Proverbio, with support from Giulia Zoccarato, advised CICC and the underwriters on Italian laws. Xu Ping, with support from Jia (Ellen) Han from KWM’s Beijing office also advised on certain PRC law matters from the perspective of the Weichai Group.
Candy Chan, said, "We are delighted to have advised CICC on this major listing and continuing to work together with our long-term client, the Weichai Group. Our Hong Kong, China Mainland, US and Italian corporate and securities teams worked together to provide seamless one-stop service to complete this complex transaction within a tight timeframe of 7 months during challenging market conditions and major holidays. We see great potential in the listing of overseas subsidiaries by Chinese SOEs in Hong Kong and we look forward to working with more market leaders like Ferretti and the Weichai Group.”
Xu Ping added, "We are honoured to have participated in this landmark IPO project. KWM assisted the Weichai Group in its acquisition of Ferretti back in 2012 and we are extremely pleased to witness the continued growth of the Ferretti Group with the support of the Weichai Group throughout the last decade, culminating in Ferretti’s successful Hong Kong listing. KWM Hong Kong (Hong Kong laws and US laws), China Mainland, and Milan offices worked closely and seamlessly in the face of challenges brought about by the pandemic. This cross-border IPO transaction is, once again, evidence of KWM’s strong multi-jurisdictional capabilities across our global platform, with unrivalled local depth and expertise.”
Davide Proverbio said, "We are happiest when we assist our clients to successfully achieve their business goals. We are proud of how our Hong Kong, China Mainland, US and Italian corporate and securities teams worked tirelessly together to bring this matter to a completion, in a deal that has proven to be most challenging, not only for the particular timeframe, but also for its inherent complexity due to different set of legal rules and cultures coming together.”
Any reference to "Hong Kong" or "Hong Kong SAR" shall be construed as a reference to "Hong Kong Special Administrative Region of the People's Republic of China.
