Law firm Baker & McKenzie has advised Europe-China growth capital private equity fund A Capital on one of the first major private investment in public equity (PIPE) transactions by a Chinese investor teaming up with a private equity fund to invest in a European-listed company.
A Capital and co-investor Sparkle Roll Holdings increased share capital in Danish luxury consumer electronics company Bang & Olufsen by 8.35 per cent.
Thomas Gilles (pictured), head of the China desk of Baker & McKenzie’s German and Austrian offices, who advised on the deal, says: “The investment by A Capital and Sparkle Roll is the second landmark China outbound transaction implemented by A Capital – after the joint investment of A Capital and Fosun in Club Mediterannée in 2010. We are very excited that we were able to support A Capital in this important transaction.”
A Capital is a Euro-China growth capital fund specialising in investments into performing European midcap companies with strong growth potential in China.
Privately owned Sparkle Roll is one of China’s luxury goods distributors.
Andre Loesekrug-Pietri, chairman of A Capital, says: "We are excited about this investment into Bang & Olufsen which validates our strategy to invest into performing European companies in order to secure and accelerate their development in China. We are looking back at a long-standing relationship with Baker & McKenzie, a global law firm that is very successful in advising Chinese companies in their efforts to invest abroad and to become global players. Our senior counsel Thomas Gilles and his team have once again been extremely helpful in assisting A Capital."
The deal is subject to approvals from Chinese authorities.
