Re Magyar Telecom B. V. [2013] EWHC 3800 (Ch), [2013] All ER (D) 20 (Dec)
Chancery Division. Richards J, 3 Dec 2013
The Chancery Division has given guidance on the sanctioning of schemes of arrangements involving companies with interests in different jurisdictions.
Daniel Bayfield (instructed by White & Case LLP) for the company.
The proceedings concerned a company incorporated and registered in the Netherlands. It was a member of a group whose principal business was the operation of telecommunication services in Hungary. The parent of the group was Hungarian Telecom LP, a private investment firm incorporated in Guernsey and managed primarily by a company (Mid Europa), which had its headquarters in London and was authorised and regulated by the Financial Conduct Authority. The principal liabilities of the company arose under an issue of €345m 9.5% notes, due 2016 (the notes), governed by the law of the State of New York and subject to the non-exclusive jurisdiction of the courts of that state in favour of noteholders.
A scheme of arrangement was proposed in respect of the company, and the “note creditors”,
