Bohong Completes Acquisition of Wescast

Sichuan Bohong Industry Co., Ltd. (“Bohong”) completed its acquisition of Wescast Industries Inc.(“Wescast”) pursuant to a statutory plan of arrangement under the Business Corporations Act (Ontario). Bohong, through its wholly owned subsidiary, Taixing International Investment Limited, acquired all of the issued and outstanding capital of Wescast, which, together with the repayment by Bohong of Wescast's indebtedness, certain other liabilities and an investment in working capital, values the total transaction to Bohong at approximately $195 million. China Development Bank Corporation provided Bohong with acquisition financing. The acquisition is the biggest by value between industrial organizations in Sino-Canadian history.

Bohong Group is a group of companies engaged in automobile 4S operations (sales, spare parts, service and survey), manufacturing, real estate and new energy. Bohong has an operations base in Chengdu, the capital of Sichuan Province and a strategic centre in Beijing.

Wescast is the world's leading supplier of cast exhaust manifolds for passenger cars and light trucks. In addition to other products, Wescast designs, casts, machines and assembles exhaust system components, primarily exhaust manifolds, turbo charger housings and integrated turbomanifolds for automotive original equipment manufacturers and Tier 1 customers for the car and light truck markets in North America, Europe, Asia, Africa, South America and Australia.

Heenan Blaikie LLP represented Bohong with a team that included David Carbonaro and William Jackman (corporate); Michael Davies and Ryan Middleton (financial services); Catherine Nicholson (tax); Subrata Bhattacharjee and Adam Goodman (competition and foreign investment) and Samuel Robinson (litigation).

Blake, Cassels & Graydon LLP represented Wescast in Canada with a team that included John Tuzyk, Cynthia Sargeant, Gordon McKenna and Kenneth Ng (securities); Bryan Bailey (tax); Ryan Morris (litigation); Julie Soloway and David Rosner (competition and foreign investment); Elizabeth Boyd (pension and benefits) and Marc Flynn (financial services). Skadden, Arps, Slate, Meagher & Flom LLP represented Wescast as to US matters with a team that included Christopher Morgan and Michael Acedo (securities). Goodmans LLP represented the special committee of the board of directors of Wescast with a team that included David Matlow, Ryan Szainwald and Eric Robb (corporate) and Tom Friedland (litigation). McMillan LLP represented certain principal shareholders of Wescast with a team that included Margaret McNee, Kimberly Poster and Alison Kim (securities) and Mary-Ann Haney and Andrew Stirling (tax).

Torys LLP represented China Development Bank in Canada with a team that included Adam Delean, Nadine Rockman Katz and Yinka Olusoga.