Yulchon Assists Dominus with Its Successful Investment in the Owner/Manager of a Premier Resort in Saipan
2018.12.27.
Yulchon assisted Dominus Investment Co., Ltd. (“Dominus”) in acquiring through Dominus’ Hong Kong SPC (“SPC”) perpetual convertible bonds in the amount of USD 97.5 million (“Bonds”) issued by Micronesia Resort Inc. (“MRI”), a legal entity established in the Northern Mariana Islands (“CNMI”). Although it was already early December 2018 when Dominus came to Yulchon, the transaction had to be completed by the end of the year for MRI to raise sufficient funds for payment of its debts. Given the cross-border nature of this transaction, the transaction structure had to be very efficient in terms of timeline and logistics although a number of regulatory hurdles in Korea, Hong Kong and CNMI had to be overcome. At Dominus’ request, Yulchon proposed the most efficient transaction structure that would allow for completion of the transaction by the end of the year. With this structure, we were able to negotiate with banks in Korea and Hong Kong and quickly establish the needed SPC and its bank account, as well as complete all regulatory filings by year’s end. Through this transaction, Dominus was able to acquire the Bonds with satisfactory terms issued by MRI and MRI was able to raise funds for its payment of financial debts and investment in the facilities of a luxury resort it owns in CNMI.
Yulchon Provided Dominus with comprehensive legal advice ranging from structuring the transaction, drafting and negotiating the transaction documents, conducting legal due diligence, and assisting with various regulatory approvals.
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