Herbert Smith has advised Sinopec, one of China’s largest energy and petrochemical companies, on its agreement to acquire a 49% stake in Canadian company Talisman Energy Inc’s UK North Sea business for $1.5 billion. The deal was signed on 23 July 2012.
Upon completion of the deal, Sinopec will hold 49% of the shares in Talisman Energy (UK) Limited, which owns 46 North Sea fields, operates 11 offshore platforms and the Flotta Terminal in Scotland. This transaction represents Sinopec’s first investment in the North Sea and a major acquisition by a Chinese company in the North Sea.
The Herbert Smith team assisting Sinopec was led by corporate energy partner David Clinch, and senior associatesMonica Sun, Alastair Young and Patrick Fitzgerald.
David Clinch commented:
“We are delighted to have assisted Sinopec on this major transaction, their first investment into the North Sea. This and other matters we have worked on recently demonstrate the continued appetite for UK North Sea investment. Herbert Smith fielded a cross-border team, utilising the skills and strength of our global energy offering, including our leading China energy practice.”
The team also included corporate energy partners Stephen Murray and Anna Howell as well as support from Herbert Smith’s tax, finance, competition, real estate, employment and environment teams.
