Advising on joint ventures, whether between corporates or between corporates and public sector* or third sector bodies, is a key part of our corporate practice.
We are also experts at advising on establishing and managing international joint ventures, particularly those that then invest into the UK.
Our success comes from understanding the commercial issues and realities influencing our clients’ businesses: this means we can help them with the practicalities of negotiating, and then working, with the joint venture structure – ensuring effective and appropriate governance arrangements are in place so that the business can be developed and supported.
We encourage all of our clients to spend time at the crucial point of establishment to consider and refine the basis upon which their interests are aligned and also the circumstances in which this may no longer be the case and what that might mean – be it a trade sale of the venture to a third party, one party “buying out” the other, one party procuring a new investor or the venture being released to pursue its business without the intensive control of the investors. Joint venture deadlock must be managed in a manner which is not destructive of shareholder value.
Finally, we are often asked to help determine the boundaries between a co-investment, a joint venture and a fund – applying our expertise on a broad range of corporate arrangements to our advice on joint venturing.
- We advised a leading Mayfair, residential property manager on the establishment of its seven joint venture funds with a Canadian institutional pension investor, between 2011 and 2016.
- We advised a London university on relocation to a single new campus and operating the same as a joint venture.
- We acted for a the shareholders of Fairacre Asset Management in connection with its joint venture restructuring with a leading commercial property investment company relating to a debt portfolio and the acquisition of a shopping centre in England.
Not taking a risk assessment before entering a joint venture may see you fail like Sainsbury’s
The read the full article by Janice Wall and Kamalprit Lally, first published in Real Business on 21 July 2016, please click here.