Wal-Mart Stores’ recent nod of approval from Chinese regulators to take a 33.6% share in Niu Hai Holdings, which gives it a controlling stake in China’s largest online supermarket, Yihaodian, may be more significant in signalling the beginning of the end for the controversial VIE structure.
VIEs (variable interest entities) are a popular offshore vehicle utilised by foreign companies to invest in restricted sectors of China’s economy.
“The MOFCOM [Ministry of Commerce] merger control decision of 27 June 2012 was the first time that the term ‘VIE’ had been expressly used by a PRC authority,” Herbert Smith Hong Kong partner and head of technology, media and telecoms in Asia, Michelle Chan, told China Business Law Journal following the approval.
You must be a
subscribersubscribersubscribersubscriber
to read this content, please
subscribesubscribesubscribesubscribe
today.
For group subscribers, please click here to access.
Interested in group subscription? Please contact us.
你需要登录去解锁本文内容。欢迎注册账号。如果想阅读月刊所有文章，欢迎成为我们的订阅会员成为我们的订阅会员。
