AUK insurance expert has warned Chinese companies wanting to exit US markets they face investigations and even threats of bumped-up claims if they attempt to delist.
Alison Clarke, a partner at Reynolds Porter Chamberlain (RPC) in London, said half of the companies that had tried to go private in the past 18 months had faced tough scrutiny from shareholders in the wake of recent accounting scandals that had affected some listed Chinese companies.
“In the last 18 months, half of the 30 or so US-listed Chinese companies which have unveiled plans to delist and return to private ownership have either had those plans investigated by lawyers engaged by public shareholders, or actually been threatened with bump-up claims,” Clarke told China Business Law Journal.
You must be a
subscribersubscribersubscribersubscriber
to read this content, please
subscribesubscribesubscribesubscribe
today.
For group subscribers, please click here to access.
Interested in group subscription? Please contact us.
