Cayman Grand Chamber under the jurisdiction of the case on what basis
worrying bankruptcy liquidation process difficult to restore the actual status of the controlling party
"The first cross-border insolvency case" sounded the alarm
Prince milk Defeated "on the gambling door"
Prince milk to achieve the listing, the introduction of AB 2006, Goldman Sachs, Morgan Stanley, three major investment banks "gamble", 73 million U.S. dollars loan to the Lee way pure.

Agreement on betting options are actually a form of: uncertainty about the future, if the agreed conditions occur, the investor can exercise a right; if agreed conditions are not there, the financing side to exercise a right. Various reasons, the agreement on the gambling capital market in China has not become a system set up and has not been commonly used. However, domestic enterprises in international business investment in the agreement on the bet has been widely adopted.

According to the agreement on gambling, received 73 million U.S. dollars capital injection from the first three years, if the Prince's milk results of the Group grew by more than 50%, you can adjust (reduce) the other option; if not finish 30% performance increase Lee will lose controlling pure way. Prince wound up milk to achieve 10 consecutive years of compound growth rate of more than 100%, give Lee a great way of pure lung power.

Use of these funds, Lee began a frenzied expansion of pure way. In 2008, Prince named by capital strand breaks milk, then into a serious debt crisis. Three major investment banks to inject 450 million yuan in the way of pure surrender of Lee's commitment to hold 61.6% stake. January 2009, Hunan Zhuzhou municipal government injected 100 million yuan, hosted by the Prince Tech dairy milk, and from the hands of three major investment banks to return to 61.6% equity, return the way of pure Li, and mortgaged to the Hi Milk, took the line right. However, these measures did not save indebted Prince milk, the Group debt up to 26 billion. Way ahead of Lee was forced to perform pure gamble agreement to sell its entire holding of shares.

Be exposed from the media in China Dairy products Hunan Prince Milk Group manufacturers have entered the provisional liquidation process, once the CCTV Consumer Goods, "Standard King", created a dairy lactic acid bacteria Sell Prince miracle what Quxianghefang milk group, the focus will be hot. Particular, once regarded as China's national pride of the Prince Milk Group companies, how will deep-led foreign bankruptcy liquidation, the court can not help puzzling.

Any event, the insolvency liquidation process has begun, as the provisional liquidator, "Paul consultant" in the legal documents and other related work has begun. Will this work the fate Prince milk have a material impact? The result? To this end, three bankruptcy law expert?? Professor Li Shuguang, a China University of Political Science, Southwest University of Political Science, Professor Wang Shihu, Beijing consultative Lawyer Han Chuanhua, on issues closely related with the outcome of a legal interpretation.

Cayman Grand Chamber under the jurisdiction of the case on what basis
Prince milk is declared bankrupt by the court in the Cayman large, the Prince Milk Group, said in a statement on this, which Prince milk does not constitute in any way. All of its assets are in China, rights and obligations under Chinese law. So, this led by an overseas court liquidation procedures have legitimacy to be effective? Cayman large jurisdiction courts whether or not we?

This, three experts agree that a large court for the Cayman registered in the Cayman Islands, Prince Milk Group's bankruptcy jurisdiction. Wang Shihu that determine whether the Cayman courts have jurisdiction to entertain a large bankruptcy case Prince milk, its legal basis is not the laws of China, but rather the laws of Prince Milk registered under the jurisdiction of such cases is how the regulations. The application of English law in the Cayman Islands has been accepted based on English law since the case,