Clifford Chance

Clifford Chance advises DSM on global anti-infectives joint venture

Amsterdam, 6 September 2011 – International law firm Clifford Chance has advised Royal DSM, the global Life Sciences and Materials Sciences company on its establishment of a  50/50 global joint venture for its business group DSM Anti-Infectives with Sinochem Group, to be named DSM Sinochem Pharmaceuticals Limited.

The agreement to form the joint venture was announced in December 2010. Following receipt of all required regulatory approvals and customary clearances from competition authorities, the transaction closed on 31 August 2011. As part of the agreement to form the joint venture, Sinochem Group has taken a 50% equity interest in the business group for a total cash consideration of € 210 million on a cash and debt-free basis with 1 January 2011 as effective date. Sinochem Group and DSM share on a 50/50 basis the cash in- and outflow of DSM Anti-Infectives as from that date. The joint venture will be headquartered in Hong Kong.

Jeroen Koster, partner Clifford Chance comments; "This joint venture represents a highly successful example of the increased interest we see for collaboration between European and Chinese companies. Making a joint venture of this nature work requires a deal team that is innovative and resourceful in every way. Bridging cultural differences cannot be a hollow phrase. You have to work hard and truly believe in it if you are to succeed in today's new reality. We are very pleased to have been part of the DSM deal team that delivered the deal. With our international experience and strong base in China I believe we are among the very few corporate practices that can field a team with the breadth and depth needed to make a real difference to the clients.

The core team that advised DSM was led by Amsterdam Corporate partner Jeroen Koster and included Line Poliquin, Gerrit Jan Kleute, Irene Cummins, Evert van der Kaa and Liesbeth Snoeijer in Amsterdam, Tony Reeves in Brussels, Emma Davies and Glen Ma in Shanghai and Ninette Dodoo in Beijing.