27 May 2021
SANJU ENVIRONMENTAL PROTECTION (HONG KONG) LTD v. WANG LISHAN AND OTHERS
- Citation
- [2021] HKCFI 1503
- Court
- Court of First Instance
- Case number
- HCMP570/2021
The court found that by 26 April 2021 defendants had not provided sufficient information or justification for the proposed subscription (2nd Resolution) — no cogent evidence of need to raise funds, no explanation for choosing the Subscription over other fundraising methods, no information about the subscriber, and no independent valuation or adviser opinion to justify a up-to-20% discount — such conduct amounted to a breach of duties and risked substantial damage (dilution and undervalue issuance); accordingly a quia timet injunction was necessary to restrain voting for the 2nd Resolution unt…