Bank of Lanzhou Advised by Dacheng Issue Debentures for Financing Small and Micro Businesses

On June 5 2012, Bank of Lanzhou Co., Ltd., advised by Dacheng senior partner Zhang Gang and his team, successfully issued debentures specially intended to finance small and micro businesses. This is the first such project advised by Dacheng.
 
In an official document issued on April 26 2012, i.e. “Opinion on Further Supporting the Sound Development of Small and Micro Businesses”, the State Council decided to authorize qualified commercial banks to issue debentures for financing small and micro businesses and develop various financial products and services tailored to the characteristics of these businesses. The capital raised from the debenture issue would be loaned to the businesses, in a bid to reduce their operating pressure and alleviate difficulties relating to rising costs and financing.
 
Apart from Bank of Lanzhou, Dacheng attorneys are also advising China Bohai Bank Co., Ltd on a similar debenture issue project. So far, the project has been filed with China Banking Regulatory Commission (“CBRS”) and is expecting approval. The Bohai Bank project is advised by attorneys Zhang Gang, Chen Xiujun and Shi Wen.