Advising on strategic JV to pave way for state-of-the-art hydrogen storage solutions

Eversheds Sutherland and King & Wood Mallesons (China) (“KWM (China)”) have advised Weifu High-Tech Group Co. Ltd. (Weifu) on its strategic cooperation agreement with Voith Group including the establishment of two joint ventures (JV).

Voith Group, a German global technology company, and Weifu, a leading Chinese state-owned, domestic automotive component manufacturer intend to work together on the research, development, production and application of hydrogen storage systems. 

Hydrogen-powered systems are regarded as key technologies for a sustainable energy transition, particularly in heavy-duty transportation. 

One of the joint ventures is designed for the global market (excluding China) in which Voith is the controlling majority shareholder with Voith HySTech GmbH at the Garching site near Munich, Germany. The second JV for the Chinese market is majority-owned by Weifu.

The aim is to jointly develop and promote hydrogen storage systems for mobility applications.

The Eversheds Sutherland team was led by corporate Partner Dr Sandra Link, while the KWM (China) team was led by Partner Bing Chen.

The wider team comprised: Partner Daniel von Brevern (regulatory), Senior Lawyers Heling Zhang, Sophia Münzel (both corporate) and Dr. Stephan Klein (finance), Lawyers Rebecca Flachs Nobrega, Bohan Wan, (both corporate), Sabrina Rübsam (employment and labour law), Isabelle Norbu (commercial) and Of Counsel Enchao Dai KWM (China).

Eversheds Sutherland and KWM (China) advised on all elements of the deal including the acquisition of shares in a German Voith entity by Weifu, and on the agreements in relation to the German and the Chinese JVs. 

The cooperation deal, including the establishment of the two JVs, is expected to be completed by Q4/2024 and is subject to all regulatory approvals and other customary closing conditions.

Dr. Sandra Link, Corporate Partner, Eversheds Sutherland, commented:

“We’re thrilled to have supported Weifu on this exciting transaction, drawing on our combined legal specialisms and local knowledge to meet their key objectives and help them deliver a deal that will enable them to bring cutting-edge solutions to a highly competitive industry.”

Bing Chen, Partner, King & Wood Mallesons (China) commented:

"It was a great pleasure to work together with the colleagues from Eversheds Sutherland’s German team on this transaction. Through our combined efforts and a robust, highly collaborative approach, we could help the client to achieve signing of this complex deal. We look forward to continuing to work with them on future opportunities.”

KWM (China) and Eversheds Sutherland (International), having worked together closely on a number of significant client matters, announced the launch of its formal cooperation agreement in July last year.

The cooperation agreement is driven by a shared commitment by both firms to provide the best client service, as well as the increasingly diverse and complex legal needs of KWM China’s clients in the UK, Europe and the Middle East and Eversheds Sutherland (International)’s clients requiring PRC legal advice in China.