MMM lawyers drive plans for hybrid car plant

Posted on February 25, 2010 13:12 by Janet Conley

A team of lawyers from Morris, Manning & Martin is advising HK Motors in its deal to launch a hybrid car manufacturing plant in Baldwin County, Ala.

The would-be carmaker most recently inked a $500 million development agreement with Italdesign Giugiaro to design and engineer a fleet of hybrid cars that Pasadena, Calif.-based HK Motors plans to begin producing in 2013 at a yet-to-be built plant in Bay Minette, Ala.

HK Motors has said it plans to make an initial $1.5 billion investment in the plant that will eventually make low-emission vehicles including sedans, SUVs, vans and taxis with hybrid engines that run on compressed natural gas, electricity and gasoline. The total planned investment is $4.3 billion

Morris Manning partners Tim Xia, Sandra S. Gardiner and F. Lawrence Street advised HK Motors on the development agreement with Turin, Italy-based Italdesign, which also has collaborated with companies such as BMW and Lamborghini. The firm also advised HK Motors on its organizational structure, production agreements, financing, employment issues, intellectual property, technology transfer and local government incentives.

Xia, through a spokeswoman, declined to comment on the deal.

HK Motors, according to press reports, has creative funding plans for its venture, which include raising money via the EB-5 visa program, which offers U.S. citizenship to Chinese who invest at least $500,000 in the project. The company has said it intends to meet this year's goal of raising $1.3 billion via a Hong Kong stock filing submitted by Far East Golden Resources, a company controlled by HK Motors' founder and CEO, Benjamin Yeung.

Yeung is the former chairman and CEO of Chinese automaker Brilliance Group.


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Janet ConleyThe Deal Watch Blog is devoted to bringing you the latest news in business law in Atlanta, the Southeast and the U.S. The lead writer is Daily Report associate editor Janet L. Conley.

Janet L. Conley is an attorney who returned to journalism after practicing law with Akin, Gump, Strauss, Hauer & Feld in Washington and with the Georgia Legal Services Program in Atlanta.

During her tenure at the Daily Report, Janet, now the paper's associate editor, has covered law firm economics and management, business and federal courts. In 2007, she received the Georgia Associated Press Story of the Year award and the Atlanta Press Club’s Journalist of the Year award, both for small circulation newspapers, for "Green to Gold," a series of articles on how climate change will alter business and the law.

Janet has written for The American Lawyer magazine and the National Law Journal, among other publications. She also served as managing editor of GC South magazine.

Janet holds a journalism degree from Southern College and a juris doctor degree from the University of Pennsylvania. She lives in Decatur with her husband Mark Harper, also an attorney, and their three children.

She can be reached at jconley@alm.com.

Andy PetersThe contributing writer is Daily Report staff reporter Andy Peters.

Andy Peters has been a journalist since graduating from Furman University in 1992. A short list of the subjects he’s covered includes the Georgia state Legislature, the U.S. semiconductor industry, the Alabama-Florida-Georgia “water wars” litigation, the 1999 American Airlines pilots strike, Coca-Cola and PepsiCo’s battle to acquire the Gatorade sports-drink brand, indie rock music and high school football. Andy has written for Bloomberg News, the New York Times Web site, the Macon Telegraph, the Spartanburg (S.C.) Herald-Journal and the Atlanta Business Chronicle.

Andy has written the Deal Watch column for the Daily Report since March 2006. He was born in Chattanooga, Tenn. in 1971 and grew up in Ringgold, Ga. He lives in Decatur with his wife and two children.

He can be reached at apeters@alm.com.

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