Deacons advises JAC Capital on the $1.8 billion acquisition of NXP Semiconductors’ power amplifier business
June, 2015 - China
(4 June 2015 – Hong Kong) Deacons recently advised JAC Capital, a subsidiary of JIC Capital - a Chinese state-owned investment company, on a $1.8 billion acquisition of NXP Semiconductors’ power amplifier business. To date, the transaction is one of the largest outbound technology deals of 2015.
NXP Semiconductors’ business is primarily focused on supplying the mobile communications base station market, but has potential future growth applications in the areas of industrial lighting, next generation cooking and automotive electronic ignition systems.
The transaction is subject to review and approval by the US Federal Trade Commission, the European Commission, MOFCOM and other agencies. NXP and JAC Capital expect the sale to close within the second half of 2015, pending required regulatory approval and employee representative consultations.
The transaction involved key intellectual property issues as the transfer of IP and technology alone was worth approximately half of the deal size. Overall, the acquisition represents an important step for JAC Capital in its movement into the semiconductor market.
The Deacons’ team was led by corporate finance partner Alexander Que and also featured partners Catherine Zheng (intellectual property) and Kelvan Cheung (corporate finance). They were supported by registered foreign lawyer James Fairley and associates Ian Liu (intellectual property) and Mario Cheung (corporate finance).
Houthoff Buruma acted for the purchaser and De Brauw Blackstone Westbroek represented the seller.
About Deacons
Deacons is Hong Kong's own world-class law firm and provides an extensive range of legal and commercial services to local and international businesses. With roots beginning in 1851, Deacons has built a worldwide reputation by providing high level, quality legal advice to companies conducting business in Hong Kong. With more than 20 practice areas and three representative offices in Mainland China, Deacons is the largest, full-service local law firm with 53 partners, 250 lawyers and lawyer equivalents and approximately 652 employees overall.
About Deacons' Corporate Finance Practice Group
Deacons' Corporate Finance Practice Group ranked number one in terms of advising on the most number of successful new listings in Hong Kong in 2013 (a total of 11 successful new listings). It has substantial experience in advising both the sponsors and listing applicants in various (and some highly regulated) industries in Hong Kong and elsewhere, including the manufacturing, food and beverages, retail, property, banking, securities, insurance, transport, healthcare, logistics, energy and infrastructure sectors.
The Corporate Finance Practice Group comprises seven partners, one consultant and 40 other fee-earners. Deacons has extensive experience in all types of corporate finance, capital markets, structured products and regulatory work, ranging from initial public offerings on the Main Board and the Growth Enterprise Market of The Stock Exchange of Hong Kong Limited, secondary issues, takeovers, private equity, mergers and acquisitions, corporate restructurings, debt financing, bond issues (including sovereign bonds), to local and cross border joint venture and other transactions.
For more information, please visit www.deacons.com.hk.
