Appleby Advised on Kwoon Chung’s HK$820 Million Loan Facility
08 Apr, 2014
Leading offshore law firm Appleby acted as Bermuda and British Virgin Islands counsel in relation to a HK$820 million secured loan facility for the purchase of certain shares in Kwoon Chung Bus Holdings Limited (Kwoon Chung), a Bermuda incorporated company listed on the Hong Kong Stock Exchange, by its current CEO and Managing Director, Matthew Wong, in concert with his close relatives, through a British Virgin Islands entity. The loan facility, which was arranged by BNP Paribas Hong Kong Branch (BNPP), will enable Mr. Wong (in concert with his close relatives) to purchase additional shares in Kwoon Chung resulting in ultimate control of approximately 63.23% of Kwoon Chung.
The Appleby team advised BNPP on this transaction and was led by Jeffrey Kirk, a Banking Partner in Appleby’s Hong Kong office, who was assisted by Senior Associate Rupen Shah, while Clifford Chance, Hong Kong, acted as onshore counsel.
Kwoon Chung is one of the largest non-franchised bus operators in Hong Kong. It has a strong presence in student services, and is regarded as the leading school bus service operator. It is also well positioned in resident, employee and cross-boundary services. Further, Kwoon Chung has been expanding into the Mainland China market through various joint ventures with and equity investments into transportation companies on the Mainland.