Global law firm, DLA Piper, today announced the appointment of Crystal Chen as partner to its Finance, Projects and Restructuring (FP&R) practice. A spokesperson for the firm told FinanceAsia that the appointment is effective immediately.
Chen joins the firm in Hong Kong from Linklaters, where she served as partner across its infrastructure and energy division.
With experience spanning development, leveraged, structured and event-driven financings, as well as acquisitions and project disposals, to date, Chen’s remit has covered multiple sectors within the project finance and industrials space. Throughout her career, she has used her bilingual capabilities to focus her practice on both China inbound and outbound transactions.
Speaking to FA, Chen shared some recent examples of the landmark transactions she has participated in, highlighting the diverse nature of her client base. These included advising: a syndicate of Chinese and international banks on the first clean coal power plant in Hyssan, Dubai; the sponsors of a wind power project in Pakistan – the first project to achieve financial close under the “China – Pakistan Economic Corridor” One Belt One Road initiative; and Didi, on its pre-IPO loan facility from a syndicate of major banks in Hong Kong.
Increased diversification of the investor base is just one of the themes that Chen is seeing across the Asian infrastructure and energy space.
“In addition to traditional sponsors, financial institutions and development agencies, other investors such as private equity funds, insurance companies and home offices are increasingly active in this space,” Chen told FA, noting that an increase in the use of corporate PPAs (power purchase agreements) is drawing large industrial and tech companies closer to the development stage of projects.
“Together with diversified investors, I also see more sophisticated financing structures such as hold-co financing and portfolio financing. These have been used in the developed markets for some time now, and they starting to be implemented in this region.”
While geopolitical tensions and pandemic-related supply chain constraints continue to be endured globally, Chen does not see these elements as hindering Asia-based activity.
“If anything, the demand in energy and infrastructure has increased, and in many cases meeting this demand has become more urgent,” she shared.
“Clearly states will put a greater emphasis on energy independence,” she said, adding that the development of renewable energy projects and energy storage solutions are likely to be accelerated.“There is a question about whether we can get to where we want to be fast enough, but in the meantime, natural gas will be a key solution in the transition. I expect to see more investment in LNG, across terminals as well as pipelines, in the near future.”
She added that ongoing geopolitical tensions and the pandemic have also highlighted the importance of data security and digital infrastructure: “We should see a renewed focus on digital infrastructure.”
While freedom of movement due to pandemic restrictions remains a key challenge within the Asian region, Chen remains buoyant. “I am confident this is temporary. The commitment to the Greater Bay Area (GBA) by the governments remains strong.”
She underlined the renewable energy sectors, including hydrogen, as well as LNG and digital infrastructure projects as the sectors offering most opportunity in the region. “With regards to geographies, I would pay attention to Southeast Asia, in particular Vietnam.” She added that ESG continues to be a topic at the front and centre of most investment activities in the space.
Chen is the second partner to join DLA Piper’s FP&R practice in Hong Kong in the past six months, after senior energy lawyer, Russell Wilkinson joined in November 2021. “Crystal’s appointment further strengthens our FP&R offering in the region and positions us a leading player in the market,” the spokesperson said. She added that the firm has ambitious growth plans, especially across Southeast Asia.
