Bird & Bird Beijing Office Advises on Inaugural Israel-Chinese Civil Aviation Maintenance and Repair Joint Venture in Hubei, China

By John Shi, Shan Lai, Qing Zeng, Michelle Chan, Ying Wang


Lawyers from the Beijing office of international law firm Bird & Bird have successfully assisted Israel Aerospace Industries Ltd in setting up a civil aviation maintenance & repair joint venture in Yichang city, Hubei province, China, with local Chinese partner Lingyun (Yichang) Aircraft Maintenance Engineering Co. Ltd, which is wholly-owned by the state-owned Lingyun Group of China.

Israel Aerospace Industries Ltd (IAI) is one of the three largest national defence companies in Israel. IAI is acting through its BEDEK Aviation Group, Aircraft Division to invest in the joint venture company. BEDEK is a world leader in the maintenance, repair and overhaul of a range of commercial passenger aircraft, and has accumulated vast resources and know-how relating to such activities.

The Bird & Bird team was led by Corporate partners John Shi and Shan Lai, and managing associate Qing Zeng. The team assisted in negotiation of the transaction documents, drafted bilingual agreements, and prepared various application materials required by the Chinese regulatory authorities during the deal. The team also assisted IAI in its decision-making process in terms of cross-border legal issues. The Beijing team was also assisted by Bird & Bird Hong Kong partner Michelle Chan on technology licensing aspects and by Shanghai partner Ying Wang on employment issues.

John Shi, Corporate partner at international law firm Bird & Bird said of the deal:

"We are pleased to have supported our client Israel Aerospace Industries Ltd in getting this joint venture – the first of its kind – set up, a win-win for both parties to tap into the fast growing MRO market in China."