Asialaw Profiles
The Guide to the legal markets of the Asia-Pacific

Allen & Overy has had a busy year in the banking and debt capital markets areas, with experienced partner Arkrapol Pichedvanichok leading on many deals. One client praises Pichedvanichok as “good on technical issues and also prepared to be commercial.” A second client says: “He is flexible and tries his best to meet customer needs and develop relationships with clients.” The firm’s strong project finance practice across the region also leads to a number of banking-related mandates.

One recent highlight saw Allen & Overy’s capital markets team advising PTT Exploration and Production on its US$500 million Regulation S/Rule 144A bond offering.

Known in the market for being the international firm with the longest history in Bangkok and housing the largest team, Baker & McKenzie’s long-term presence in Thailand means that clients appreciate its understanding of the local market. The team advises on capital markets work, particularly on the recently more active debt side. One client says: “I’ve dealt with Bakers on the other side of the table, and they’re quite good.”

In the last year, partner Kitipong Urapeepatanapong led Bakers’ capital markets team representing Thai Airways International on its IPO and concurrent Rule 144A/Regulation S offering. The IPO was Thailand’s largest in 2010, and was valued at approximately US$487 million.

Chandler & Thong-ek is known for its strong mandates when it comes to project finance, and is especially strong on banking transactions where it acts as Thai counsel to lenders and Thai companies. The firm’s robust relationships with Thai banks give it a comparative advantage in an environment where there is an increased tendency for domestic banks to lead financing deals and seek outlets for investing liquidity. One client has high praise for name partner Al Chandler, noting: “He is the finest lawyer in Thailand.”

In one highlight deal, Chandler & Thong-ek served as Thai counsel to borrower Trans-Thai Malaysia and sponsors PTT and Petronas on financing for the expansion and development of gas transit services from the Thai Malaysian joint development area to a gas pipeline in Thailand’s Eastern seaboard.

Linklaters’ capital markets practice is led by partner Wilailuk Okanurak, who also serves as head of the M&A group. Partner Pichitpon Eammongkolchai is also a leading lawyer at Linklaters, which is known for its ability to work on the leading capital markets transactions as well as the most complex types of syndicated loans.

For capital markets work, Linklaters has been involved in block trades and debt capital markets transactions over the past year. In one major deal, the team recently represented Credit Suisse, Merrill Lynch, UBS and Phatra Securities as underwriters on Siam Cement’s Baht 33 billion (US$1.1billion), 15.59% stake in PTT Chemical.

Linklaters also represented Bangkok Skytrain operator BTS on a complex Baht 10 billion (US$333 million) letter of credit-backed convertible bond issue.

Weerawong Chinnavat & Peangpanor is often seen on top bank lending mandates across the country, and is known for its strong relationships with local and international banks. The firm also has a strong capital markets practice, especially when it comes to debt-related issuances.

One client says: “Weerawong Chinnavat & Peangpanor is a local firm with very good connections in the local market.”

In one key deal last year, Weerawong’s capital markets partners advised Credit Suisse and the Royal Bank of Scotland on the Thai law aspects of their role as initial purchasers of a US$500 million Rule 144A/Regulation S bond issue by PTTEP Australia International Finance Pty.

Clifford Chance is known for its activity on the banking side and on debt capital markets matters in Thailand. “The firm gives high quality advice,” says one client. “There is great availability of partners and assistants, and the firm provides an excellent service and swift responses to questions. The CC network of lawyers in other jurisdictions is very useful in complex cross-border transactions.”

Finance partner Fergus Evans and project finance specialist counsel Joseph Tisuthiwongse earn strong praise from clients. “Many senior partners disappear after the first call, which can be a problem when work is then passed to associates who run the rest of the deal,” says one client. “That definitely does not happen with Fergus.”

In the last 12 months, the banking and project teams represented Siam Commercial Bank, Krung Thai Bank and TISCO Bank as lenders on a syndicated acquisition loan for Sahaviriya Steel Industries PLC (SSI) and its UK subsidiary. The loan was to obtain the upstream steel production capabilities of UK-based Teesside Cast Products.

Driven by the firm’s strong project finance practice, Hunton & Williams is particularly strong when it comes to banking work and financing advice for domestic projects. It is increasingly seen in the renewable energy space. Because the Thai government continues to subsidise and invest in green energy projects within the country, the firm is carving a useful niche for itself in the future. One competitor notes: “Hunton & Williams is one of the firms you think of when you think of project finance practices in Thailand.”

Last year, the firm’s banking and projects team advised Natural Energy Development in relation to development and project financing for the construction of a solar farm that will be one of the largest in the world carrying a value of at Baht 8 million (US$250 million).

LS Horizon is considered a rising star in the market, having worked on some of the most high profile project financings in the region over the last year. The practice and partners seem to have particular acumen when it comes to advising project finance companies on cross border transactions. “The firm has provided good services,” says one complimentary client, “and the relationship with our company is excellent.”

In one of the team’s largest financing deals over the past year, the firm represented Hongsa Power Company on a US$2.7 billion financing for the development of the 1,878 MW Hongsa Thermal Mine-Mouth Power Plant in Lao PDR. This was one of the largest ever financings in Thailand’s history.

When it comes to banking work, the Norton Rose brand is well known. The firm is particularly active on inventory financing and short term financing arrangements. Clients appreciate the firm’s fluency with the interpretation and expression of English law. One says: “Norton Rose gives a good command of written and spoken English in its clarification of Thai law and implications.”

Another client comments: “The firm’s service level and advice are good. It responds promptly to queries and gives advice quickly. For us, English proficiency and professionalism are two key criterion. It is always a difficulty to find good law firms in Thailand who are proficient in English.”

Partner Somboon Kitiyansub recently led a Norton Rose team representing a subsidiary of Volvo Sweden, Volvo Truck & Bus (Thailand) Company, on a Baht 85 million (US$2.84 million) inventory financing for Thai customers.

Thanathip & Partners has managed to snap up a good number of the relatively few equity mandates available in the market this year.

Name partner Khun Thanathip receives high praise from clients. “He and his team have a very good commercial business sense,” says one. “This allows them to deliver top quality service and provide sound advice to clients and banks.”

In one key transaction over the past year, the Thanathip team represented Symphony Communication on its Thailand IPO. The Baht 633.6 million (US$21.2 million) offering from the leading premium fiber optics and network equipment provider was the first time that a high speed communication company had listed on the Thai Stock Exchange.

Partner Pradit Sahachaiyunta leads ILCT’s banking practice, which represents a number of borrowers and lenders on transactions with domestic Thai banks. The team recently advised the lenders on loans to Nongbua Green Power on a deal worth €400,000, Baht 52.5 million and Baht 10 million respectively. ICLT also represented Rodenstock GmbH in its role as borrower of a €345 million loan.