成果法律英語(yǔ)ipo35

1、The IPO ProspectusPart IIOmario S. Kanji II歐康吉Lawspirit Beijing May 15, 2011The IPO Prospectus (Part II)Two parts:General introductionPractical points,ComparisonsInternational concerns - the WrapMajor sections - Business, Risk Factors, Financial InformationDrafting methods and practical pointsThe IP

2、O Prospectus (Part II)Housekeeping from last time:Definitions of “expert”HK Listing RulesSEC - SOX - ExpertStatutory and General Section15th Corporate Investor agreement involving Cheung Kong Holdings, Li Ka Shing in Final, not the Rednotice the date of March 4 so strategically agreed on after print

3、ing of redDeal Toy displayThe IPO Prospectus (Part II)The Business SectionWhat does the company do?Regulation S-K (101)andForm 20-F (13)The IPO Prospectus (Part II)The Business SectionOverview (121)Strengths (121)Strategies (123)ProductsThis is the main selling section - lots of marketing, lots of f

4、latteringPage 121 - most widely recognizedPage 122 - Diaspora + CAN WrapPage 122 - Market Share and DominationPage 127 - DHA and brain developmentThe IPO Prospectus (Part II)BusinessSales and Distribution Network (131)sales reachDistribution arrangements (133)Distribution agreements and tax issuesDi

5、stributor numbers (134)SalesReturns as % of total sales (134)Seasonality (136)Process (142)Map (141)Quality Control and Halal/Kosher (151)Research and Development (153)Know-how (Japan), Incentive schemes and Staff NumbersThe IPO Prospectus (Part II)BusinessEmployee Numbers (154)IP (155) See also reg

6、istered trademarks in Stats and Gen (440)Properties (156)Basic message of 旺旺:Track record of growth and successMarket recognition, presence and know-howDrafting points:Thorough, clearSupported by lawSupported by numbersSupported by studies such as the AC Nielsen ReportThe IPO Prospectus (Part II)Bus

7、iness - Sands ChinaComparative focus - the business of a casino!The IPO Prospectus (Part II)Business - Sands ChinaLeading developer, owner and operator (by EBITDA) (86)Claim and support for the claimFuture plans and statistics (real estate) (86)20,000 hotel rooms2,000,000 sq. ft. (18,5806.00 sq. met

8、ers!) of mall spaceStrength - Gambling, Shopping, Meeting and Entertaining (89)High margin gaming segment vs. VIP services (91)Revenues for Venetian (92-93)Ferry Services from HKG (100)The IPO Prospectus (Part II)Business - Sands ChinaLegal Proceedings (109) - commendableFerry Operation and Tender P

9、rocess (109)Independent Contractor claims (110)IP Dispute (110)The IPO Prospectus (Part II)Risk Factors-Risk Factors mentioned thrice before the Wrap RF section“Always holding the investors hand”Wrap Risk Factors (19) - Quick ReviewWrap risk factors are those risks that an international investor wil

10、l consider apart from those risk factors that everyone (local and international investors) considers:Taxation/PFIC (passive foreign investment company)Differences in accounting standardsShareholders rights and Cayman IslandNB: liability is on the entire document (MANY mentions)The IPO Prospectus (Pa

11、rt II)Risk FactorsGeneral RFs - what every investor should knowSEC Form S-4 (Item 503 of Regulation S-K PDF)SEC Form 20-F (p. 11)GuidelinesSuggestionsRoadmapThe IPO Prospectus (Part II)Risk Factors - 503 of Regulation S-KPDFThe IPO Prospectus (Part II)General Risk Factors - SEC Form 20-Fspecific to

12、the company or its industrymake an offering speculative or one of high riskin the order of their priority to the company (encouraged)nature of the business engaged or proposes to engagefactors relating to the countries in which it operatesabsence of profitable operations in recent periodsfinancial p

13、osition of the companypossible absence of liquid trading market for companys securitiesreliance on the expertise of managementunusual competitive conditionspending expiration of material patents, trademarks or contractsdependence on a limited number of customers or suppliersThe IPO Prospectus (Part

14、II)General Risk Factors旺旺 - Summary (59) & Risk Factors (75)Our Business RisksRaw Materials - substantial info - look at % of costs, increases in costsDelivery and Distributors - majority of sales - look at %SeasonalityKey PersonnelPropertiesIP concernsOur Industry in ChinaCompetitionEHS Regulations

15、 in PRCThe IPO Prospectus (Part II)General Risk Factors旺旺 - Risk Factors (75)PRC RisksSales in China - majority - look at %Offshore companies and inbound PRC transfersPRC Legal SystemIPDiseasesNew Laws and new developments - TaxThe Global OfferingControlling ShareholderDilutionFacts and Stats - reli

16、abilityMedia concerns, leaks, etc.DividendsThe IPO Prospectus (Part II)General Risk FactorsSands China (31)Ongoing OperationsCredit and Financial Crisis (32)Discretionary e (34)Travel, political events (35)Single market and dependence (36)Other legal systems (37)Swine, Avian and SARS (44)Transportat

17、ion (50)Macau Gaming IndustryPRC travel restrictions (52)Weather (54)The IPO Prospectus (Part II)Financial Information“the MD&A”Regulation S-K, Item 303 - (PDF)SEC Interpretive Release on the MD&AManagements Discussion and AnalysisThe IPO Prospectus (Part II)Financial Information - “the MD&A”旺旺Looki

18、ng at financials first (186, 188)Connecting dots between the financialsAlways asking the question “why”?192 - Sales VolumeDecreases in nine months ended numbersNotice jump in average selling price for nine months numbers - could explain lower sales figures193 - Costs of Raw Materialsas an example of

19、:Sales of Core Operations vs.Cost of Goods Sold of Core Operations (notice jump)The IPO Prospectus (Part II)Financial Information - “the MD&A”旺旺188 v. 199 - Cost of Sales and breakdownA general category and a specific categorySalaries - for those in production only201 - comparable time periodsSales

20、trends - rice crackers v. dairy productsCost of sales and increase in raw materialsThe IPO Prospectus (Part II)Financial Information - “the MD&A”旺旺205 - Liquidity and Capital ResourcesAnalyzing cash flow dataComparing categories of cash flow and revenues(188 v. 206)Operating activities and cash spentInvesting activities207 - Net current assetsIncreases in trade receivables but decreases in borrowing