April 7, 2026

 

Law firms point out complexities concerning CJ's sale of feed and livestock business to De Heus

 

 

Firms advising on South Korea's CJ CheilJedang Corporation's US$854 million sale of its global feed and livestock business to Royal De Heus have highlighted the transaction's intricacies, involving multiple sales of shares in 15 companies across Southeast Asia.

 

The transaction involved the Seoul-based food company's livestock operations, CJ Feed and Care, across Vietnam, Indonesia, the Philippines, Cambodia and South Korea, and saw Royal De Heus, the Netherlands parent of the De Heus Animal Nutrition international brand, acquire 17 feed mills.

 

Lee & Ko advised on Korean and Vietnamese law, while overseeing and co-ordinating local counsel in Hong Kong, Indonesia, Cambodia and the Philippines. Senior foreign attorney Ki Wook Kang led the team, alongside managing partner Ho Joon Moon, partner Yi Jun Chang, as well as senior foreign attorneys Seung Hyo (Sam) Baek and Jun Yeop Kim.

 

"From the outset, the transaction required a comprehensive understanding of the legal frameworks across multiple jurisdictions. Its complexity was further heightened by the involvement of a listed company as one of the sellers, necessitating highly intensive negotiations within a compressed timeframe while maintaining strict confidentiality," Kang told Asia Business Law Journal.

 

He added that comprehensive reviews of legal and regulatory requirements in each jurisdiction were among the many challenges addressed to ensure the deal closed successfully.

 

"The complexity was further compounded by carve-outs of certain entities and businesses during the interim period between signing and closing, as well as by the need to manage relationships with joint venture partners of certain target companies," Kang said.

 

He added that "a creative, pragmatic approach" was required by CJ CheilJedang and Royal De Heus to complete the transaction within the targeted timeframe while complying with all regulatory requirements.

 

VILAF conducted legal due diligence in Vietnam for Royal De Heus, with chair Duyen Ha Vo and partners Ngoc Luong Trinh, Hao Nguyen, and Tung Nguyen on the team.

 

Vo told ABLJ: "Unlike conventional industrial M&A, livestock farming transactions in Vietnam sit at the intersection of multiple regulatory regimes – land, environment, animal husbandry, food safety, construction and operational licensing – making it one of the most heavily regulated sectors in Vietnam."

 

International partner Roman Hamala, who supervised the Sok Siphana Sethalay team advising CJ CheilJedang on all Cambodian legal aspects of the transaction, acknowledged the significance of the deal for Cambodia, saying it reflected the nation's "role within regional supply chains".

 

"It also signals continued investor confidence in Cambodia as part of broader regional investment strategies," he said.

 

Eversheds Sutherland acted as the Hong Kong legal adviser to CJ CheilJedang, with the team led by partner and head of corporate, Hong Kong, Dickson Ng.

 

DFDL advised Royal De Heus on the Cambodian aspects of the deal, led by the partner and head of regional corporate mergers and acquisitions, Chris Robinson. Baker McKenzie also advised on the transaction, with partner Mo Almarini heading its team.

 

Royal De Heus signed a share purchase agreement in October 2025 to acquire 100% of CJ Feed and Care's operations in Asia, comprising assets in Vietnam, Indonesia, South Korea, Cambodia, and the Philippines.

 

- Asia Business Law Journal