Strategic alliances and joint ventures can be key elements of a business strategy. They can provide incredible opportunities for companies to access new markets, share market risk, develop joint IP and implement economies of scale and scope. These can be highly complex and as such can easily lead to a loss of shareholder value if not structured in the most efficient way for both parties.
Our experience enables us to identify the particular commercial and practical concerns that a business may have. We advise on the range of issues which can arise and assist in choosing the appropriate mechanisms to implement the joint venture or strategic alliance, by taking into account a client’s attitude to risk and rewards, tax status and corporate culture. We continue to provide expert advice, right through to advising on the unravelling of the joint venture or strategic alliance, including exit routes or termination procedures.
Our recent transactions include:
- Advised on the Thar Block II coal mine and associated 2x330MW coal fired power project in Pakistan, one of the first projects to be financed under China’s ‘One Belt One Road’ initiative. We advised the two project companies, the mine company (a joint venture of the Government of Sindh, Engro Corporation, various Pakistan and Chinese investors and China Machinery Engineering Corporation) and the power company (a joint venture of Engro, CMEC and a Pakistan investor).
- Advised NuGeneration Limited in relation to the joint venture between Toshiba and ENGIE (formerly GDF SUEZ), on their plans to construct and operate a £15bn new nuclear power plant at Moorside site in West Cumbria
- Advised an FTSE 250 developer on its strategic funding JV with an overseas sovereign wealth investor for a major London regeneration project (1,500 homes)
- Advised Essential Living on its $400m JV with M3 and a US pension fund for a residential development in London and the South East
- Advised Blue Water Energy LLP on the set up of and investment in a new exploration and production company focused exclusively on the Norwegian Continental Shelf called Wellesley Petroleum Limited. This included assisting in putting together the structure of the joint venture with a diverse and experienced management team
- Advised a European automotive supplier on its market entry strategy for China and assisted in the establishment of several joint ventures with auto part manufacturing companies
- Advised a German VC funded biotech company on various joint ventures in India