Midland Resources Holding Limited
Midland was an international joint venture holding company ultimately owned by two individuals (“the UBO’s”) who had an acrimonious falling out. Their appointed directors could not agree on any issues regarding Midland’s management. Midland had once controlled assets worth hundreds of millions of dollars, but a “business divorce” had resulted in most of those assets being distributed between the UBO’s. One of the UBO’s sought the winding up of Midland in the Guernsey Court to overcome a management deadlock regarding how Midland’s remaining assets should be dealt with.
As Liquidators, we retained independent legal counsel to assess the merits of Midland’s remaining assets (litigation claims) and whether there was any real possibility of recoveries, where previously there was some doubt as to the value of pursuing those claims. Consequently, the Liquidators obtained a legal opinion and other critical information which the UBO’s were able to consider and assess the value of the claims.
The appointment of Liquidators was a rather draconian step brought by one of the UBO’s following a long running dispute. The appointment assisted in bringing some clarity in respect of the various assets and litigation and ultimately assisted the UBO’s to reach agreement as to how the remaining assets should be divided between them.