As per various merger and acquisition laws, restrictions on round-trip investment, examination and approval procedures for overseas listing and other related laws, when PRC private enterprises seek overseas financing by means of overseas listing, some PRC controlling shareholders realise their rights and interests in an overseas-listed company by means of entrusting foreign entities or individuals to hold their shares of said company (or in shares in shareholder entities of said company).
Getting the most out of your call options
As PRC private enterprises are increasingly looking outward for investment, many shareholders are using the call option scheme to hold interests in overseas companies. But before any proceeds can be obtained, investors will encounter complexities in the Chinese foreign exchange legal procedures and need clarifications on implementation
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