January 15, 2015 (Hong Kong) – Global law firm Proskauer represented Tahal Group Assets BV (Tahal Assets) in signing a share purchase agreement with China Gezhouba Group Investment Holding Co. Ltd. (CGGC Investment) to sell its shares in its wholly owned China-based water infrastructure subsidiary, Kardan Water International Group Ltd (KWIG), for $102 million. In addition to the consideration for the shares, CGGC Investment will also repay all outstanding loans provided to KWIG by Kardan Group companies, totaling approximately $49 million. The transaction is expected to close in two phases in 2015, subject to customary closing conditions and regulatory approvals.

Tahal Assets is a fully owned subsidiary of Kardan N.V., a Netherlands-headquartered investment company listed on both the NYSE Euronext Amsterdam and the Tel-Aviv Stock Exchange active in real estate, water infrastructure and financial services in emerging markets.

KWIG, a fully owned subsidiary of Tahal Assets, develops, constructs and manages water assets – such as wastewater treatment, water re-use and water supply plants – in China. Currently, KWIG operates 11 water projects in China, with a maximum combined capacity of 630 k t/day.

Proskauer has represented Kardan entities in connection with their business in China over the past few years, and this marks Proskauer’s second transaction for Kardan in the past two months. The firm also provided counsel on the recent sale of its stake in Galleria Chengdu.

The Proskauer team was led by partner Yuval Tal, head of Proskauer’s Hong Kong and Beijing offices, and included corporate partner Jay Tai and associates Vivian Ho in Hong Kong and Tao Wang in Beijing.