19 Mar 2025
PEKING UNIVERSITY FOUNDER GROUP COMPANY LIMITED (北大方正集團有限公司) v. NUOXI CAPITAL LIMITED (諾熙資本有限公司) (IN LIQUIDATION IN THE BRITISH VIRGIN ISLANDS)
- Citation
- [2025] HKCFA 6
- Court
- Court of Final Appeal
- Case number
- FACV7/2024
The Court held that the issuers/guarantors suffered no compensable loss from PUFG's failure to make funds available under clause 4.1(ii) because performance by way of a loan would have replaced the pre-existing liability to bondholders with an equal liability to the lender, leaving no net diminution in the issuers' consolidated net worth; therefore the Court of Appeal declarations awarding substantive sums could not stand and were varied to record that the breaches on 16 April 2020 sound in nominal damages only, with the true commercial loss being that of the bondholders recoverable by the tr…