Hotels group seals HK$1.6bn IPO with Dechert’s help

Dechert played a leading role in the recent debut of a Chinese hotels-chain operator on the Hong Kong Stock Exchange (HKEX).

The US giant advised Zhejiang New Century Hotel Management on its HK$1.6bn global offering and IPO.

New Century, a unit of New Century Group and an affiliate of the HKEX-listed New Century REIT, operated and managed 140 mid-scale and upscale hotels across 22 China as of Aug. 31. Dechert said that proceeds of the raising will be used to develop the operator’s hotels, as well as for brand promotion, technology, and staff recruitment and training.

The firm fielded a team that specialises in corporate finance and capital markets to act on the IPO. The team was headed by partner Stephen Chan, who was supported by associates Denise Tsui, Charles Lam, and Jacqueline Foo.

Joint sponsors for the offering were China Galaxy International Securities and BOCOM International.