Issuers Take Note: Can a Noteholder, Acting Independently, Present a Petition against an Issuer?

The ability of an investor in a global note structure to petition for the winding-up of an issuer has been a hot topic in international debt capital markets circles.  In 2023, we saw conflicting decisions handed down by the courts of Hong Kong (Re Leading Holdings Group Limited), the Cayman Islands (In the matter of Shinsun Holdings (Group) Co., Ltd) and the British Virgin Islands (In the Matter of Haimen Zhongnan Investment Development (International) Co. Ltd) on the question of the standing of a beneficial holder of a global note (governed by New York law) to present a winding-up petition against an issuer as a contingent creditor.  This is a rapidly developing, unsettled area of law.