³ÉÈËÓ°Òô

Legal News

Use of assenting class to facilitate cross class cramdown not abusive (Re Sino-Ocean Group Holding Ltd)

Published on: 07 May 2025
imgtext

Article summary

Restructuring & Insolvency analysis: Through this judgment, the court sanctioned a proposed restructuring plan (the ‘Plan’) under Part 26A of the Companies Act 2006 (CA 2006) relating to Sino-Ocean Group Holding Ltd (the ‘Plan Company’) despite (a) the Plan not being approved by over 75% in value of those voting at the meetings of two out of the four classes of creditors and (b) one of the dissenting creditors, Long Corridor Asset Management Ltd (‘Long Corridor’) appearing at the sanction hearing to oppose the Plan. The court sanctioned the Plan on the basis that: None of the members of the dissenting classes of creditors would be any worse off than they would in the event of the relevant alternative, which would be the Plan Company’s liquidation (thereby satisfying Condition A under CA 2006, s 901G (‘Condition A’)); the Plan was agreed by >75% in value of each of Classes A and C (ie two...

Popular documents