Paul, Hastings, Janofsky & Walker, a leading global law firm, announced today that it is advising China Everbright Limited (“China Everbright”), a financial services company whose shares are listed on the Hong Kong Stock Exchange, in the disposal of 51% of the share capital of Everbright Securities (International) Limited to Everbright Securities Company Limited (“Everbright Securities”), a financial services company whose shares are listed on the Shanghai Stock Exchange, for a consideration of approximately US$114 million.
The consideration payable by China Everbright was reached with reference to a range of price-to-earnings (P/E) multiples of the companies selected from among the listed companies in Hong Kong with businesses similar to those of Everbright Securities (International) Limited and the net profit of Everbright Securities (International) Limited for the year ended 31 December 2010.
Following the disposal, China Everbright and Everbright Securities will become joint venture partners, thus allowing China Everbright to make use of the extensive network of Everbright Securities in the PRC to further develop its securities, futures, forex and bullion brokerage services, wealth management services, investment banking and research businesses in Hong Kong.
The Paul Hastings team is being led by partner Vivian Lam with support from associate Ling Ling.

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