Kingsoft Cloud acquisition of controlling interests in Camelot
Davis Polk is advising Kingsoft Cloud Holdings Limited in its acquisition of controlling interests in Camelot Employee Scheme Inc. In connection with the proposed acquisition, Kingsoft Cloud will issue to each of the two co-founders of Camelot ordinary shares of Kingsoft Cloud, subject to certain adjustments and lock-up restrictions. The proposed transaction is expected to close by the end of 2021, subject to customary closing conditions, including regulatory approvals. Upon the completion of such transaction, the financial results of Camelot will be consolidated by Kingsoft Cloud. Kingsoft Cloud will further acquire the remaining stake from other existing shareholders in Camelot by issuing up to RMB782.5 million worth of additional ordinary shares in June 2023, subject to certain conditions.
Kingsoft Cloud is a leading independent cloud service provider in China. Kingsoft Cloud has built a comprehensive and reliable cloud platform consisting of extensive cloud infrastructure, cutting-edge cloud products and well-architected industry-specific solutions across public cloud and enterprise cloud. Camelot is a provider of enterprise application services and financial industry information technology services.
The Davis Polk corporate team includes partner Howard Zhang and registered foreign lawyer Michael Zhuoran Xu. Counsel – registered foreign lawyer Kevin Zhang is providing securities law advice. Counsel Alon Gurfinkel and associate Ariel Siman are providing tax advice. Members of the Davis Polk team are based in the Beijing, Hong Kong, London and New York offices.