Lawyers Weekly - legal news for Australian lawyers

Powered by MOMENTUM MEDIA
lawyers weekly logo
Advertisement
Big Law

Kemp Strang powers ahead on hydro-electric listing

The three-office firm advised on the public listing of Genex Power, the company behind Australia’s third-largest hydro-electric storage project.

July 10, 2015 By Digital
David Nolan Kemp Strang
expand image

Firms: Kemp Strang (Genex Power); Norton Rose Fulbright (Zhefu Hydropower International Engineering Corporation)

Deal: Genex Power listed on the ASX after conducting two rounds of seed fundraising, including a substantial investment by Zhefu

Value: Undisclosed

Key players: The Kemp Strang team was headed up by David Nolan, who was assisted by senior associate Tom Morgan.

Deal significance:

According to a statement from Kemp Strang, Genex flagship project will be the Queensland Hydro Electricity plant, slated for completion in 2018.

Mr Nolan suggested the listing was successful, given shares were oversubscribed, but said the transaction involved highly technical aspects, including the involvement of a major overseas investor.

“Genex had to first acquire the Kidston Mine from Barrick Gold Corporation. They are not only the world’s largest gold company but Kidston was previously the largest open-cut mine in Australian history,” Mr Nolan said.

“This required significant due diligence on legal, regulatory, tax and financial aspects of the acquisition as well as approvals from the Queensland Government.”

The two rounds of seed fundraising involving the negotiation of a “cornerstone investment” with Shenzen-listed Zhefu Hydropower International Engineering Corporation, a world leader in hydroelectric equipment manufacture, according to Mr Nolan.

“This included a commitment by Zhefu to retain 20 per cent of the shares in Genex following completion of the IPO,” he said.

“Their investment was initially via a secured convertible note and came with the commensurate advice required when providing security to an overseas company, and consideration of FIRB and other related matters.”

The offer was fully underwritten by RBS Morgans.

Tags
You need to be a member to post comments. Become a member today
Got a tip for us?
If you have any news tips or stories to share, feel free to send them our way.
lawyersweekly jobs image
lawyersweekly jobs
Discover the latest legal jobs
Find Australian legal jobs, employment & career opportunities
Momentum Media Logo
Most Innovative Company