Asia awards: M&A

Author: | Published: 9 Mar 2010
LR: Angela Chan of Clifford Chance, Melli Darsa of Melli Darsa & Co, Wei Xiao of Milbank Tweed, Neil Campbell of OMM and Min-tze Lean of Stamford Law

Deals of the year

WINNER: Delta/Buma
In an unusual twist to conventional M&A, the target of this deal raised the financing for its takeover. Bukit Makmur Mandiri Utama (Buma) raised approximately $1 billion to finance its buyout by Delta Dunia Makmur (Delta) through a refinancing, a new facility, a bond and an equity offering.

Buma’s management wanted the deal to be a success so used Buma’s better credit. These fund raisings were documented separately but were done almost simultaneously and required complex documents to set out rights and protections over shared security, for example.

Completion risk was a particular concern for all parties as the fund raising was based on the premise of the M&A deal closing. At...