Campbells acted as Cayman Islands and British Virgin Islands legal counsel to Yonghe Medical Group Co., Ltd. (“Yonghe Medical”) in connection with its HK$1.49 billion (approximately US$192 million) initial public offering and listing of its 94,424,000 shares (assuming the over-allotment option is not exercised) on the Main Board of the Hong Kong Stock Exchange. Assuming full exercise of the over-allotment option, the offering size will be HK$1.72 billion (approximately US$220 million). Yonghe Medical also introduced 10 cornerstone investors, which include Lake Bleu Prime Healthcare Master Fund and the Hudson Bay Master Fund, to back up US$97 million (HK$757 million), representing 50.64 percent of the total offering.
O’Melveny & Myers acted as Hong Kong and US counsel, with Tian Yuan Law Firm acting as PRC counsel, respectively, to Yonghe Medical. Davis Polk & Wardwell acted as Hong Kong and US counsel, with Jingtian & Gongcheng acting as PRC counsel, respectively, to Morgan PlayUZU Stanley Asia Limited and China International Capital Corporation Hong Kong Securities Limited (being the joint sponsors) and the underwriters (including Morgan Stanley Asia Limited and China International Capital Corporation Hong Kong Securities Limited).
Yonghe Medical is the largest hair-related healthcare service provider in China. Yonghe Medical has operated since 2005 and has 53 hair-transplant clinics in China, up from 22 clinics in 2017. It offers one-stop hair-related healthcare services covering hair transplant, medical hair care, and routine hair restoration services.
